Sun May 25 05:40:00 UTC 2025: ## Child-Rearing Costs Soar, Leaving Families Squeezed, Says New Report

**NORFOLK, Va. -** Raising a child is becoming increasingly expensive, with a new LendingTree report revealing a staggering 35% increase in annual child-rearing costs since 2023. The study highlights the significant financial strain on families, who are now spending an average of 22.6% of their income on basic necessities for their children, up from 19% the previous year.

“It’s shocking, but it’s also in line with everything else that’s pretty expensive now,” said Sara Weber, a mother of two, echoing the concerns of many families facing rising costs. She noted the increase even in everyday essentials, forcing families to rethink their budgets. Strategies like bulk buying at wholesale clubs like Sam’s Club are becoming increasingly common to mitigate the financial pressure.

The LendingTree report pinpoints daycare as the biggest driver of the increase, with costs surging from $11,752 to $17,836 annually. Food and health insurance premiums have also seen substantial jumps, each rising by nearly $1,000.

Matt Schulz, LendingTree’s chief consumer finance analyst, emphasizes the difficult position this puts families in. “Most people’s budgets don’t have 30% worth of wiggle room in them,” he said, adding that it forces difficult financial decisions.

Regional variations also play a role, with states boasting higher incomes often translating to a higher cost of living. Virginia ranks 14th in the nation for annual child-rearing expenses, while North Carolina sits at 42nd, according to the report.

Schulz advises families to take control of their finances by understanding state-specific expenses, leveraging tax breaks, embracing secondhand shopping, opening high-yield savings accounts, and seeking assistance when needed.

The increased financial burden is impacting family planning decisions. As Weber put it, “I would say I would have at least one more [child] if I could, but with everything, it’s just hard. It’s harder to afford the show.”

*This article was researched, reported, and written by a WTKR News 3 journalist. AI was used to minimize typos and ensure style continuity.*

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