According to new data, the cost of raising a child to the age of 17 has risen to upwards of $300,000 due to inflation.
Let's Run the Numbers
The Brookings Institution found that the average amount a married, middle-income couple with children will spend to raise a child born in 2015 is now estimated to be $310,605.
If we break that down further, that would be around $18,270 a year, which is a 9% increase from the previous estimate. This rise in the overall cost of raising children is because of rising prices in America.
The consumer price index is now hovering close to a 40-year high for multiple goods. These goods include gas, clothes, and housing.
The Struggle Is Real
According to the USDA, the average cost of raising a child born in 2015 was $233,610. This number, however, was calculated with the assumption that the inflation rate would be at the Federal Reserve's target rate of 2%.
The CPI climbed 8.5% in July from the previous year but seemed to slow from the 9.1% rate that was recorded in June.
The last time inflation was this high was in the 1980s. The Fed is now forced to raise interest rates to combat the price hikes in the country. This domino effect has wreaked havoc on the budgets of the American people. These numbers do not even account for post-high school education costs. Parents can expect to pay much more than $300,000 if they plan to send their kids off to college, grad school, and beyond.
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