Does Paying for Childcare Make Sense?
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- Опубліковано 16 тра 2024
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Can we agree that the cost of childcare is insane? If I could wave a magic wand and take away this struggle for everyone, I would! That’s why I’m answering specific questions I’ve heard from you guys-on childcare, money and how to manage it all (without breaking the bank).
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30 years ago there was a study that showed it cost $60K for a mother to work counting expenses like childcare, higher tax bracket, work wardrobe, second car or other transportation, work lunches. use of more convenience foods and eating out, possible house cleaner, etc. The point was to count the cost of working as well as the benefits--emotional, building up retirement funds, and YOUR ACTUAL cost rather than their "average" and decide whether it is worthwhile. I will tell you that my lifestyle did not change when I stopped working. What changed was that I was not supporting a small army. I dropped the childcare costs, the lawn mowing guy, the house cleaner, some of the eating out, and hugely the taxes. I spent my time doing different things, but they primarily revolved around my child. At one point I did in daycare for an infant in my home--I was earning about half of what it would have cost them in a center and it was very little work. I picked up some on line work occasionally.
Bottom line, do what you can to avoid day care costs. If you are a teacher, can you tutor--math, science, reading pays well. If you're a musician or music teacher, can you give private lessons on your instrument? If one of you is a nurse, can you work a job with shifts opposite what the spouse works? Or, can you find a stay at home mom willing to charge less than a normal daycare center (she makes some money, you spend less). If you have a real work from home job, you can't care for a child at the same time, but with a part time or sporadic one, you probably can. Explore all your options, not just the obvious ones.
The working shift suggestion brought up nostalgic memories for me. In the old days (baby boomer here), my parents worked different shifts. My Mom worked days, and my father worked evenings. The gap between my Mom coming home and my father leaving for work (about an hour) was filled with a neighbor. That was in the old days though. 😍
I work from home except Tuesdays I spend nine on wardrobe prepare all my own food and bring lunch Tuesdays we only have one car and I use drop my husband off at work and pick him up Tuesdays only. The gas isn’t too bad right now so working from home if you can full time is the best fit
I have three kids in in-home daycare in Utah. It is 2060 a month. I just had a newborn. Instead of paying for childcare, I decided to start my own in-home daycare and am in the licensing process.
Not for us, we weren’t making much but childcare was too expensive and God was calling me to stay home. I got laid off so it made the decision easy for us. It’s the best thing for our young family, even though we don’t have a lot of extra frills right now. It’s okay for this phase of life.
God doesn’t call anyone to be home lol. You say that to make yourself feel better.
It’s fine to stay home. But don’t use God as the excuse. Just be real. You can afford to stay home and childcare is too expensive to make it worth it.
@@CC-iu7sqisn’t it sweet how we can each have our opinion, spoken and unspoken and live up to each our convictions (or not)?
Older women are to teach the younger women in this way: That they may teach the young women to be sober, to love their husbands, to love their children, To be discreet, chaste, keepers at home, good, obedient to their own husbands, that the word of God be not blasphemed (Titus 2:4-5). Yes, God gives young wives and mothers the command to prioritize their marriages, children, and homes. Women who work 40+ hours in a full-time job or career do so to the neglect of their families. In these families, children and husbands get the crumbs of a woman's time and energy (tragic all around) and centers, strangers, and institutions provide 'child care.' Marriage and motherhood are esteemed in scripture; our culture largely scorns them.
@@sdlorah6450 agreed! Lived both ways and found more peace within myself and now my home after stopping the “grind” forever grateful to our heavenly Father for his ways!
@@MrsMama007 Convictions are fine. So long as you admit it’s a conviction you rationalized on your own.
Don’t use God as some sort of higher calling to stay home. That’s simply not reality.
I had to quit my job because it wasn’t financially worth it. Daycare ate up my entire paycheck for the month after taxes were taken out. I was only getting back $55/month so I made the difficult decision to leave my job of 10 years to stay home with my 2 children who are only 18 months apart. Once the kids are in school I do want to go back to work. Also because I am married, we didn’t qualify for the state program to help with daycare costs.
A family at our daycare had triplets. that's 6,000$ a month in daycare expenses. The poor parents are so worn out, but mom and dad both work because they went crazy when they tried to spend 100% of the time with three infants
Thank you for acknowledging the struggle single parents. FPU was the key component in helping me to get through the tough younger years when things were so tight with childcare expenses. Now on BS 4,5&6!
Something to consider is both parents doing some kind of work in all stages of raising children. One works full time, the other, part time or per diem. If a person is continually in the work force, salaries generally go up over time, versus trying to get back in after being off for a time period, and starting at tte bottom. You can keep up your skills with technology, and programs, whatever is current in the field at that time. Also, this protects yourself in the event that one spouse is laid off, death, divorce, disability, illness, etc., and the other spouse is in a bad place trying to scramble around and get a job in a hurry. It also helps to be debt free. Less stress, more choices.
The cost of childcare is not only insane but criminal. My wife and I make $150k/year combined and we feel we can’t afford it so she went part time and our parents cover the 3 days a week we need. My heart breaks for all the single parents out there with no help.
For everyone complaining how much child care costs consider that the people who are caring for your child are working a job! If you want to have a job making enough to make a living guess what, so do they. Otherwise why would they work that job?
If you feel it is too expensive then don’t have so many kids, make more money, or quit working and stay home and make it work without your income (two income houses of course). I’ve done all three of those options at various times of life, including working opposite shifts than my spouse for a couple of years.
We decided for me to be a SAHM right before our 2nd was born. I had just graduated college and hadn't worked yet. We knew I'd have to work an hour away. After daycare, gas, vehicle matinence, ect I would have brought home $300 a month max. We knew my husband could make much more than that in overtime. We make a lot of sacrifices being a family of 5 on less than $60,000 a year, but it's less expensive than me working. Even if I wanted to work we couldn't afford it. We also live in a very small rural town with no job market other than my husband's career. No family or friends as a support system. My husband's work schedule is so volatile being an essential worker that I'm unable to find a job that can work around his ever changing schedule. No market for Uber, Doordash, ect in such a tiny town. Internet also barely works and is unreliable.
Hey! I work in childcare and had both my kids go through childcare at 95% staff discount. Its only just changing now to 25% for casuals but has been told it will be about $27 a day with Childcare subsidy. If I wasn't getting a staff discount it would not be worth it. We are so grateful we get a decent discount. Highly recommend anyone that needs daycare to consider working there to get a discount!! I live in Western Australia!
My wife and I have a 3 year old and just had a newborn 1 month ago. I make between 55k - 60k AFTER tax. Wife was making 45K before we started having children. We both love kids so it made since to have her stay home during this phase of family building. Yes things are and will continue to be tight for the next 3 - 5 years, but God is good and has kept us thus far. It is all about what you parents decide is best for your family and what you're willing to do and sacrifice to make it work. Praying for all the single parents out there. You guys are warriors!
Be sure to adjust your tax withholding and it helps with the monthly income for budgeting
The 1st 3 years of being a parent, after childcare/commuting costs, I was left with around £10 a week. I stuck at it as I knew long term I would gain benefits.
Fast forward, my eldest is 9. I have a position where I work 4 days a week for almost double what I was on when I had my daughter. I have more family time and more money to spend on the kids now.
It was 100% worth it!
We are one and done for this reason. Not everyone is so lucky to have a ton of family nearby to help with babysitting..
Thank you for this video! I love how you give practical advice that encourages everyone to do what’s best for their particular situations. I felt seen when you talked about how moms can feel conflicted about working outside of the home and wanting to be home.
Do what you have to do. Not everyone has family or friends to help. If you can make ends meet on one income, then ya take them out of daycare. It is a tough world out there if you're not making over 50k a year.
This question hits a nail on the head for me. Thank you!
Thank you for speaking on this issue!
My advice to the nurses question is find one person that you trust to help you with your baby and when they share with you the days they can help you find a part time day care and work it around that family member time. That way incase that family member can’t help you that day you have day care as a back -up. Also , as a nurse try to go for the compressed work schedule to be off three days instead of two. So you can save even more money and spend more time with your baby ❤. Trust me ! You will see a better number when you combine all three! You got this !
I seems that you have to be a doctor, a lawyer or the like in order to pay for daycare. My daughter-in-law has a 4-year degree with over $100,000 in student loans. She told me that she was working just to "hold her place" meaning she was making nothing over the cost of childcare for her one child for those first five years. I feel that that price is just to great to bear. Plus the poor baby had to be woken up at 5 a.m. and never got to take their own naps in their own bed. I stayed home to raise my two sons myself. I did not want them being raised by someone else. I never dragged my kids from pillar to post, sleeping and eating in the car. I was raised by a series of babysitters that came and went and honestly l wanted better for my son's.
I live in Ohio where our income is pretty low. My sister who only has one child had to pay $500 a month on childcare. I have five children all under the age of 10. Child care that I was looking to what's on average was $137 per child per week. The math on that for five children it's crazy. Ohio's average income in our area, is about $14 to $17 per hour
I love working! Workplaces need to be more family friendly, so they don't lose great employees because they had to choose. Flexible schedules for at least the first year, helps SO much! My husband and I tag team, it's rough but it goes by quick.
Mother in Law watched my kids for a year. Great cooking too.
Thats awesome but not everyone has that option.
Lucky 🍀 you and your kids! Here’s a cookie 🍪
I like this topic. Keep changing it up!
Cruze Cruze Cruze!!!
Try the local YMCA or early childhood center.
well said ❣️
When my kids were young I held jobs that centered around my kids. I nannied a family for several years and brought my kids with me. It was good socialization for them too, and they became like family. Then when I got pregnant with my 3rd I quit (that family had 6 kids!), and found a work from home job and had part time nannies help out. When I got a better paying job, we went with full time nanny. We did what we had to do since we couldn’t afford for me to quit as I was the higher earner. Keep your options open! Work from home jobs are much more common to find now.
Our kids are six years apart and I am so, so glad that we made that decision. Finances were a big part of it but not everything. Our kids are still close. Ignorant people make rude comments when they are young, but if you can ignore that, your family will be just fine and very happy.
It’s about the big picture you are paying to stay employed and for long term career progression. You earn more long term if you don’t take a career break
I’m in a tough spot too where I make too much NOT to put my son in daycare. It sucks.
My mom watches my son while my husband and I work. We pay her because we want to. She doesn’t ask to be paid but she does so much for us she deserves it
The cost of daycare is a big blind spot in the Ramsey world. I wanted my wife to stay home and care for our daughter but she refused. Daycare costs $1800/mo but my wife earns $150k/yr so we can swing it. We’re one and done. No way could we afford two kids in daycare.
My parents advised me not to have children if I couldn't afford to support them for the first 18 years. Not everyone has to have babies to be a complete human being. I'm sympathetic towards people who plan well and still end up needing child care due to unforeseen circumstances but most are just trying to have it all. Now parents get tax breaks, subsidized care, cash benefits and more...all at taxpayer expense. It's not the kids' fault their parents raise them to believe government is there to pay for everything.
The subsidized care is to get the children in the system as early as possible, and only applies for the government run or subsidized programs. To the best of my knowledge only single moms get cash benefits. Tax breaks are a non-stater for me, income should not be taxed and your income tax paid never even goes into the budget.
Not all parents qualify for government benefits
most parents don't qualify for any kind of subsidized care. We don't get cash benefits. We don't get "more." You don't have children, and you don't support basic education for the populace, so it makes sense that you're woefully misinformed. You know where people don't have to waste money on public education and support for kids? Afghanistan comes to mind.
This is very judgmental… if you think parents are having kids for tax breaks and to be funded by the government you are blind. Most parents can’t even GET any help because they make too much money. You literally have to be making minimum wages to qualify. And people are not going to hold off on having kids just because things are going to be tight and maybe even a struggle for a few years. Most people WANT to have babies to feel like a “complete” human being because it’s absolutely natural for men and women to have desires to have families.
My wife and I have 5 kids. I stay at home while she works part time at KFC.
Ideal scenario would be you live by grandparents and you get along with them well and you get free child care.
Yep, I have a friend who is a teacher and her kids have both sets of grandparents, most of their great grandparents, and an auntie who works at a MDO at their church two days a week they go to. She is able to work because she literally has a whole village and on rare occasions when none of them can watch her kids she just uses a personal days from work.
When I bought my first home, I looked at my property tax bill and saw 65% was going to the public school system. I appreciate funding education benefits everyone but I didn't have (nor would I ever have) kids in school yet I couldn't opt out of paying. Shouldn't property taxes be used for services everyone uses - road/bridge repair, park maintenance, street cleaning, public safety, etc...? Why should 2/3 of my taxes go to funding my neighbors' education? I sold that house and will never waste my hard-earned money again.
I don't have kids but disagree to a certain degree. You want your house to be in a well educated area with a good school system. It makes the area and your house more desirable.
I understand where you’re coming from, but today’s children (yours or someone else’s) are tomorrow’s adults who will run things when we retire. We all benefit from having an intelligent workforce. Education is an investment.
you *do* benefit from paying for your neighbor's kid's education. you WANT an educated populace. You WANT your neighbor's kids to graduate and get jobs. You WANT those little mongrels out of the neighborhood for most of the day. You just don't realize it.
I agree completely. It’s a scam and an especially bad investment considering how abysmal the public school system is. That’s why more and more people are homeschooling and investing in private schools.
Depends on how much you make.
Look for an in-home daycare. They are less expensive than childcare centers and you'll have the same person or two watching your kids the entire time.
A lot of careers have the ability to be able to work from home. It should be an option for parents so they can do it for a season to help save childcare cost.
Working from home while watching kids is often times a violation of company policies and expectations. Can you really do your job 100% while watching a child? And vice versa.
For the sake of homes, marriages, and children, men and women need to recover their biblical roles as husbands and fathers and wives and mothers with their accompanying privileges and responsibilities. Vulnerable children are entrusted to parents who are to provide for, love, discipline, and protect them. Institutions, centers, and hired caregivers are poor substitutes for conscientious parents raising their children in the intimate setting of the home.
U are not calculating the amount of $$$ employer adds to retirement in the form of 100% employer paid pension and employer paid 401k.
Stay out of debt pay the cost of childcare and let pension and 401k contributions compound. 😊
I hate that this is mostly a question for moms
It’s easy. 90% of couples could live below their means and raise their own kids. Daycare should be a last resort.
Costs are a huge reason I chose to not have kids!
🍪
@brightpage1020 just giving my perspective you don't have to agree
No joke. My kid is out of daycare and we spend 600-2000 a month on his needs!
@cometasporelcielo exactly and they only get more expensive!
Rachel if you or a coworker reads this, please tell Dad (Dave at work) not to be so political. I can't tell you how many come in for advice but when they hear him talk in a very divided way, they leave. There are many videos where he doesn't but many that he does. I can't listen. I like you and George and John but I don't want that on a money site. Just my opinion but I hope it lessens.
So the answer is no. Paying for child car does not make sense. Don’t have kids people
Honestly couldn’t think of a more selfish way than a parent who is a teacher choosing to go and supervise other people’s kids and not their own. Silly choice of your time.
Not a Biblical point of view.
As a Christian I believe what the Bible has to say concerning child rearing the duty of the wife is to take care of her home and her family if she fails to do those things then she is derelict in her duties it is the duty of the husband to provide for the family so he should be doing what is necessary to provide for the needs of his family a Christian woman should never allow someone else to raise her children even if she needs to help the household financially there are ways to take care of your own children and make money at home
seriously? you're a guy, so of course all of it falls to the woman. my MIL is a surgeon. a SURGEON! My husband spent the day with a nanny but was RAISED by his mother. He became an upstanding, well educated, now high-paid and upstanding individual, who respects the fact that kids are tough to be around all day. Even Dave Ramsey says that women, especially smart ones, need more than just spending all day at home bouncing babies on their knees.