Raising kids is a rewarding journey filled with unforgettable moments, but it often comes with a hefty price tag. From pursuing hobbies to chasing career aspirations, parents frequently invest in big-ticket items to support their children’s dreams. An online discussion revealed some of the most significant purchases families have made to help their kids succeed. Here are the top responses.
1. Bigger or Newer Car
New parents who drive older cars often feel they need to buy a newer or safer car, even if it’s not a major brand. And, upgrading from a sedan to a minivan is a big ticket item.
2. Extracurricular Activities
People spend money on after-school or summer programs, whether it be private music lessons, ballet, or sports. One person shared they spend about $4,000 across a bunch of weeks for a summer camp for their kids.
3. Cell Phones
A parent shared that their teenagers were required to have their cell phones. The phone needed to be NFC-capable to allow them to get into the buildings on campus.
If you’ve enjoyed reading our content and are passionate about learning wealth, managing your finances, and achieving financial freedom, we’d love for you to join our community! Click here to follow Invested Wallet for more.
4. Larger House
A person shared that their biggest up-front cost with their first kid was buying a bigger house, even if that meant adding at least one bedroom. They said new parents can avoid this purchase for two to three years, but eventually, they’ll want and need the space. One person said after they had their second child they decided to buy a bigger house for $700,000.
5. Nanny
Someone shared they hired a nanny for 20 hours a week. Their nanny handles the household chores and basic cleaning. Also, the nanny picks up the kids from school and tutors them. They estimate they pay their nanny $29,000 a year, including a holiday bonus. Another person said they didn’t expect they’d need a night nanny, but their baby was extremely fussy. So, for six month,s they spent over $500 a night for overnight care.
6. Therapy
A person shared they have three kids that need therapy from a specialist. They spend about $3,000 a month on their kids.
7. Travel
Travel becomes more expensive when you have a bigger family. For instance, you’ll be paying for more tickets, larger rooms, luggage costs, and private tours that accommodate the kid’s “patience.”
8. Daycare
Many people shared that daycare is their biggest expense averaging between $1,800 a month to $3,300 a month. One high-earning couple shared they spend $5,000 a month on daycare. On top of that, in many large cities, parents have to be on a wait-list, years in advance.
9. 529 Contributions
When it comes to saving up for their children’s college education, a person shared they contribute $20,000 a year toward a 529 plan. They contribute $10,000 toward a custodial account.
10. Food
In addition, a lot of people said their biggest expense was food. One person said after their child stopped nursing, their food consumption went up. They said, “Feeding one child is the equivalent of at least half of the average adult, so figure accordingly.” Another person said their toddler can eat a carton of raspberries in one sitting. And, it doesn’t help when a carton can cost close to $4 for what looks like 20 tiny pieces.
11. Health Insurance
Adding more dependents to your health insurance will definitely increase your cost. A person shared that their monthly insurance premiums went up a couple of hundred dollars.
12. Diapers
Although diapers are not necessarily expensive, lower-income people may feel the pinch. A person said they kept a detailed log during their son’s first year of life and spent over $50 a month on diapers, wipes, and diaper creams. For someone with a limited and low income, this expense added up for them.
Related: 50 Super Simple Side Hustle Ideas
Choosing a side hustle can be fun compared to getting a part-time job because they allow you to pursue what you’re actually interested in, like perhaps fitness or writing, while providing you flexibility!
Read more: 50 Super Simple Side Hustle Ideas (& How to Make Them Work)
Related: 20 Easy Ways to Raise A Credit Score Fast
This rating is one of the most common across the nation, and those who have it know that it creates a variety of lending difficulties. Thankfully, it is possible to improve your bad credit score past this subprime rating and get the loans that you deserve.
Read More: 20 Easy Ways to Raise A Credit Score Fast
Follow Invested Wallet For More
If you’ve enjoyed reading our content and are passionate about learning wealth, managing your finances, and achieving financial freedom, we’d love for you to join our community! Click here to follow Invested Wallet for more.