Most vs Least Expensive States to Raise a Child
It costs over 44,000 dollars a year to raise a child in Massachusetts, more than double the 19,178 dollars in Mississippi. This chart ranks the 10 most expensive and 10 cheapest US states for annual child-rearing costs in 2025.
Data
| # | State | Annual Cost 2025 | Group |
|---|---|---|---|
| 1 | Massachusetts | $44,221 | Most expensive |
| 2 | Connecticut | $41,808 | Most expensive |
| 3 | Vermont | $38,272 | Most expensive |
| 4 | California | $35,651 | Most expensive |
| 5 | New Jersey | $35,069 | Most expensive |
| 6 | Washington | $35,027 | Most expensive |
| 7 | Colorado | $34,986 | Most expensive |
| 8 | Hawaii | $33,363 | Most expensive |
| 9 | New York | $33,280 | Most expensive |
| 10 | Minnesota | $33,197 | Most expensive |
| 11 | Iowa | $22,173 | Cheapest |
| 12 | Arkansas | $21,840 | Cheapest |
| 13 | Louisiana | $21,798 | Cheapest |
| 14 | Kansas | $21,757 | Cheapest |
| 15 | Tennessee | $21,424 | Cheapest |
| 16 | Georgia | $21,299 | Cheapest |
| 17 | South Dakota | $21,174 | Cheapest |
| 18 | Kentucky | $20,758 | Cheapest |
| 19 | Alabama | $20,550 | Cheapest |
| 20 | Mississippi | $19,178 | Cheapest |
Note: What Goes Into the Cost of Raising a Child
Raising a child is one of the biggest ongoing expenses a family carries, and the bill varies a great deal depending on where you live. In the United States the average family spends roughly $27,000 per year on a young child. But that average hides a huge spread: from about $19,000 in Mississippi to more than $44,000 in Massachusetts.
What the Number Covers
Studies like the one behind this chart add up the typical cost of supporting one child across a full year. The main buckets are:
- Housing: the extra rent or mortgage space a child needs, plus utilities.
- Childcare and education: daycare, preschool, and related care, often the single largest line item.
- Food: groceries and meals, which grow as kids grow.
- Healthcare: insurance premiums, doctor visits, and prescriptions.
- Transportation: extra trips, a bigger vehicle, and fuel.
- Taxes: the change in state and local taxes a larger household pays.
Why the Northeast Tops the List
The most expensive states cluster in the Northeast and on the West Coast. Massachusetts, Connecticut, and Vermont lead because two costs tower over everything else: childcare and housing. Childcare in Massachusetts routinely runs well above the national average, and home prices and rents along the coast are among the highest in the country. When those two forces combine, the annual cost easily pushes past $40,000.
Why Southern and Midwestern States Are Cheaper
The cheapest states are concentrated in the South and the Midwest. Mississippi, Alabama, Kentucky, and Arkansas post annual costs around $20,000. Housing is far more affordable, and childcare and groceries also come in below the national average. Lower wages in these regions partly explain the bargain: families earn less, but the everyday costs of raising a child shrink along with them.
How These Figures Are Measured
Most state-by-state estimates focus on a young child, typically under the age of five, because that is when childcare is most expensive and needs are easiest to standardize. Costs rise again later for older kids, so the numbers here are a snapshot for the early years, not the total for all 18 years of childhood. It is also worth remembering that these are averages; a family that finds affordable childcare or buys a smaller home can beat the number, while a family in a pricey city with premium daycare will exceed it.
What Parents Can Do With This Information
- Run a full yearly budget before moving: a lower salary in a cheap state can still leave you ahead.
- Compare childcare prices against the cost of a stay-at-home parent for the first few years.
- Federal and state childcare subsidies and tax credits shrink the real bill for many households.
- Housing price is usually the lever that matters most, so weigh commute and size against cost.
- Costs change fast; Vermont rose 25 percent in a single year, so check current data often.
Fun Facts
- Raising one child to age 18 in the US now totals around $300,000, and more in expensive states.
- Massachusetts wins the title roughly twice as expensive as Mississippi, about $44,000 vs $19,000.
- Childcare in the Northeast can cost more than public university tuition in the same state.
- Affordable states still carry their own catch: average wages there tend to be lower too.
- Two working parents with two kids in an expensive state can easily pass $100,000 a year in child related costs.
- The annual figure for one child under five is higher than the average cost for an older child because before school age care is priciest.