Raising a child now costs over $300,000 in the U.S., study finds. See how your state compares.

Raising a child is a rewarding experience, but it also comes with a hefty price tag. According to a recent estimate from LendingTree, the cost of raising a child in 2026 is projected to be $303,418, averaging out to about $16,857 per year. This figure has increased by about 2% from the previous year and is the first time it has exceeded $300,000 since LendingTree started analyzing these costs in 2023.

The calculation takes into account the typical expenses for a couple earning the median family income in the U.S., which is around $100,000. It also considers tax incentives that can help offset some of these costs. However, it’s important to note that this analysis does not include the expenses related to college education, which can add another $152,000 to the total cost.

Many American families are feeling the financial strain of raising children, with a recent CBS News poll revealing that 77% of respondents believe it is more challenging to raise a family today than in previous generations. Some parents have even resorted to going into debt to cover child care and other expenses.

Location plays a significant role in the cost of raising a child, with expenses varying widely across different states. Alaska, Kansas, and Montana saw a more than 20% increase in costs from the previous year, while Hawaii tops the list as the most expensive state, with an estimated cost of $412,661 in 2026.

Despite the overall increase in costs, there are some areas where parents can find financial relief. For instance, infant child care costs are projected to be $17,264 in 2026, which is $572 less than the previous year. The average annual cost of raising a child in the first five years is estimated to be $29,325, representing a slight decrease of 0.3%.

The total cost of raising a child from birth through high school graduation is now comparable to the median sales price of a home in the U.S., which was $356,000 as of January 31. This highlights the significant financial commitment that comes with raising a child.

Researchers compiled data from various sources, including the U.S. Census Bureau and Bureau of Labor Statistics, to arrive at these estimates. It’s clear that the cost of raising a child continues to rise, putting pressure on families’ budgets and underscoring the importance of financial planning.

In conclusion, raising a child is a significant financial responsibility that requires careful consideration and planning. By understanding the costs involved and exploring potential avenues for financial relief, parents can better prepare for the expenses associated with raising a child.