Infant care costs at least 10% of a family's annual income in nearly all states

Published On Oct 28, 2024, 3:25 PM

A new study by Bankrate reveals that child care costs for full-time center-based care for one infant consume at least 10% of a median family's annual income in nearly all U.S. states. New Mexico had the highest percentage spent on infant care at 20.5%, while states like South Dakota and North Dakota were among the most affordable, where costs accounted for less than 10% of income. The rising costs of day care and preschool have significantly outpaced overall inflation, with infant care becoming one of the largest budget items for families, second only to housing expenses.