On average it costs upward of $253,770 to raise one child in the tri-state area (based on a study by the US Department of Agriculture in 2017). That was three years ago. Certainly, that number has gone up and it does not include college! How can parents in New York reduce that cost? There are a few things we can do.
HOUSING
The bigger the house or apartment the higher the rent or mortgage, not to mention utilities and maintenance. Consider keeping it simple. Each child does not need his or her own room. Encourage sharing and team work by having siblings share rooms for as long as possible. Which may be permanently. After all, most parents end up downsizing after the kids leave home. Keep it simple to start with and reduce housing costs. Also, the teenage years can be tricky. A teenager with lots of alone time has more opportunity to conceal things. Sharing spaces keeps everyone together and aware of what is going on.
CHILD CARE
Day care and baby-sitters are very expensive. New York has a ton of resources that can help and many after school programs are free. Check with your child’s school to see what programs they offer. Non-Profit programs are also a great option. Your child can also learn new skills and activities. Below are a few links to help start the search, but don’t stop there. There are so many options!
FOOD
Food budgets are a struggle for everyone. Food is expensive. But applying the tips from our previous article will help to keep the grocery budget down.
CLOTHING
Some of my favorite things about New York are the culture and individuality. Your child can be their unique self. Embrace that. It strengthens self-esteem and helps the budget. Teach your child to embrace their personal likes and dislikes which also means not buying the newest trend every few weeks. Consignment stores also offer a great option for purchasing clothes at a fraction of the cost. Plus, kids grow so fast! Along with their taste. Why spend premium money for a fleeting item?
HEALTHCARE
Our children’s wellbeing is everything to us. We will spare no cost to keep them safe. Ideally, we would like to prevent them from getting sick or injured to begin with and prevention is ALWAYS better than a cure. Train your child often with safety tips. If your child is very young try your best to child-proof your home. Eat healthy meals, get lots of exercise, and teach good hygiene. These items will definitely prevent many illnesses and reduce healthcare costs. Below is one resource to get started on the path to healthy living. There are also lots of good documentaries on Netflix about food, sugar and health.
ENTERTAINMENT
There’s no shortage of entertainment here in NYC. This is the mecca for art, entertainment, and culture. The best part is – often it’s free! From salsa dancing on the Pier to Central Park concerts, there’s so much to do! Right now, we are limited but once things open back up consider all of the free events New York has to offer before paying for the normal line up… movie and dinner. Below are a few links to get you going, but as always don’t stop there! New York has so much to offer. There’s no other place like it.
We know parenthood is expensive, but it’s also so rewarding. Just remember, you got this!
Until next time,
Crystal
Crystal Chantel is an accountant with well over a decade of experience in tax, finance, audit and accounting in New York and Florida. Each week in Money Talks, she’ll share her advice to help individuals to navigate their financial challenges!