Parents Struggle with Soaring Childcare Costs Amid High Inflation

The rising costs of childcare are putting a strain on parents across the country, with high inflation only adding to their financial burdens. According to a recent survey from Care.com, the average cost of enrolling a child in a licensed day care is $16,692 annually in 2024, with infant care in a home day care costing $11,960 a year. The price of a full-time nanny averages $39,832 annually.

Inflation is a major factor driving up childcare costs, with the cost of day care and preschool rising 4.4% in March compared to a year ago. This increase comes at a time when many childcare centers are struggling to stay afloat following the expiration of pandemic-era funds.

The cost of childcare has now surpassed the price of a college education in some areas, with infant care in New York costing more than in-state tuition for a four-year public college. Across the US, there are 33 states where childcare is more expensive than college.

Many families are feeling the financial strain of these rising costs, with some spending up to 62.7% of their annual income on childcare expenses. The end of pandemic-era federal funding for childcare providers has only exacerbated the situation, with thousands of programs at risk of closing and millions of children losing access to childcare.

As parents struggle to make ends meet, the future of childcare in the US remains uncertain. It’s clear that more support and investment are needed to ensure that families can afford quality childcare for their children.