A new study from lending platform LendingTree shows that the average total cost of raising a child to age 18 in the United States has reached$303,418. Total costs vary widely from state to state.


Hawaii is the most expensive state to raise a child, with LendingTree estimating the total cost at $412,661; Alaska and Maryland are close behind at $365,047 and $326,360, respectively. Meanwhile, New Hampshire is the least expensive state at $201,963, less than half of what Hawaii costs. Washington, D.C., which provides free preschool education for 3- and 4-year-old children, and South Carolina, ranked second and third among the regions with the lowest childcare costs.

Affected by the sharp increase in rent and clothing costs, childcare costs increased by 1.9% year-on-year. LendingTree data shows that the average rent has soared from US$1,128 in the last survey in 2025 to US$1,680 this year, an increase of nearly 50%; clothing costs have increased by more than 25% year-on-year.

Matt Schultz, author of the study and chief consumer finance analyst at LendingTree, said in an interview: "Inflation is clearly putting heavy pressure on people, which is undoubtedly one of the reasons why childcare costs have increased so significantly."

In some states, child care-related costs are growing at a much faster rate than inflation. The study found that estimated 18-year childcare costs in Kansas and Alaska surged by 23.5% between LendingTree's 2025 and 2026 statistics, and by 21.7% in Montana.

Childcare is the largest childcare expense

LendingTree analysis shows that for families with children under the age of 5, childcare costs are by far the highest expense. Parents in Hawaii spend an average of $40,342 per year on childcare, while families in Maryland and Massachusetts pay $36,419 and $34,247 respectively.


A total of 14 states have seen the cost of raising young children rise by at least 10%. In sparsely populated states such as Nebraska, Montana, and Wisconsin, the cost of childcare for young children has increased by at least 23% due to scarce service options and strong demand.

“Certain states and even parts of states are known as ‘child care deserts,’” Schultz explains, “where the supply of day care and child care providers simply cannot keep up with demand. As a result, existing providers — especially high-quality ones — are able to set prices pretty much whatever they want, ultimately driving up fees significantly.”

According to U.S. federal guidelines, if childcare expenses account for no more than 7% of family income, it is considered affordable. Based on the average annual childcare cost of US$28,190, a family needs an annual income of US$402,708 to afford the cost, while the average annual income of an average family with two children is only US$145,656, just over one-third of the target income.

A February survey by the American Association for the Education of Young Children showed that 65% of childcare centers and 51% of public school-related programs announced tuition increases, and nearly one-third of family-based childcare institutions also increased fees.


"This is a real problem for people who really need help," Schultz said. "While we would like people to rely on relatives or trusted friends to help with child care, many people simply don't have that option and have to pay for whatever day care costs."

The long-term impact of high childcare costs

Schultz said the high cost of child care can hurt a family's long-term savings, such as building an emergency fund, saving for college or retirement.

"This directly makes an already difficult situation almost unbearable, which is why many people take financial factors into consideration when deciding whether to have children and how many children to have."

For some families, the only choice is between one parent working and paying for child care.

Schultz said: "Although we all don't want to calculate the cost of parenthood, if we don't consider it at all, we are actually irresponsible to ourselves and our families. Because very few of us feel that the cost of raising children is insignificant."