The growing costs of raising a child
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The costs associated with child-rearing have jumped over the decades, outpacing inflation and reflecting cultural shifts. Data from 1960 to 2015 shows how these costs have changed for generations of Americans.
- The average cost of raising a child in the US from birth through age 17 has risen 16% from an inflation-adjusted $259,711 in 1960 to $300,322 by 2015.
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- In 2020, hospitals charged patients an average of $27,938 for pregnancy and childbirth procedures. This was almost two and a half times the average charge in 2000, which was $11,218.
- Middle-income families spent an annual average of $15,877 to $17,869 on child-rearing in 2015.
- Housing accounted for the largest share of child-rearing costs: 28%. Food followed at 18%. Childcare and education were the third largest expense, accounting for 16% of spending.
- Childcare and education costs, which include babysitting, daycare, and private school tuition, rose 825% since 1960.
How do these expenses vary by income bracket? See that and much more in this article. |
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Is home insurance getting more expensive?
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Property insurance is getting more expensive — or difficult to get in the first place. A 2023 report from the Congressional Research Service linked this to higher-than-average inflation and interest rates, increasingly costly natural disasters, and regulatory changes (particularly in California and Florida). Here’s a snapshot of public data on property insurance.
- The National Flood Insurance Program (NFIP) is a public insurance provider operated by the Federal Emergency Management Agency (FEMA) that helps insure Americans for flood damage. The agency says that weather pattern shifts have increased risks, causing the program to go from no debt in 2004 to $20.5 billion in debt in 2024.
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- FEMA's National Risk Index assesses the regional risks of damage from 18 types of natural causes. The index indicates that 45.7 million people, 13.8% of the population, live in very high-risk counties. Another 86.8 million (26.2% of the population) live in areas of high risk.
- The property and casualty insurance industry has incurred industry-wide losses every year from 2017 to 2022, except for one.
- Seven of California's top 12 property insurance providers have halted or limited new policies since 2022.
- In Florida, some private insurers have become insolvent and left the market, necessitating a state-run alternative called Citizens Property Insurance Corporation. In 2023, the US Committee on the Budget launched an investigation into the corporation’s solvency.
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Maryland Governor Wes Moore signed an executive order to issue more than 175,000 pardons for marijuana convictions on June 17. Maryland is one of 24 states where recreational marijuana was fully legal as of October 2023.
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In 2023, the most epicenters of small earthquakes felt around the lower 48 states were on or around the California coast (839), in Texas (453), and in New Mexico (323), though residents of neighboring states may have also felt them. |
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