Did you know it would be this expensive to raise a child?
So we all know that tonight is budget night and we have all heard the forthcoming promises of pleasing sounding childcare reforms, and not-so-pleasing sounding paid parental leave reforms but what it is all contingent on seems to be getting last year’s stalled budget through Senate.
The big sticking point is the 2014 budget savings to family tax benefits, which include cutting family payments to single-income families when children turn six.
Love her or loathe her Tasmanian independent Jacqui Lambie has vocalised what many of us think:
“Any moron knows it costs a lot more to be bringing up a child as they get older,” she said.
But obviously they don’t.... because they are still trying to push through with this change.
In fact, the cost of raising kids between the ages of zero to six and six to 18 is hardly comparable. Be it for a single-income family or a double income family.
The most recent modelling on the cost of raising kids in Australia, released last year by AMP and The University of Canberra, found that raising two kids in Australia for a family on a middle income will set you back $812,000.
For a higher income family, the cost rises to $1.09 million from the time the kids are born to when they leave home, while a lower income family can get away with spending $474,000.
The report found that the cost of older children are significantly more expensive than younger children, with a child aged 15 to 17 three times more expensive than a child aged zero to four.
It found that from birth to leaving home, the greatest costs associated with raising children are transport and food. Middle-income couples add an additional $143,000 to their grocery bill and an extra $159,000 on transport as they raise two children.
For comedian Kitty Flanagan view on the costs of raising a child watch this video here. Post continues after.
The facts, quite clearly laid out by AMP modelling, showed that children cost more as they get older.
To prove my point, here is a very nice self-explanatory graph from the clever folk at AMP:
And here is another:
Clever, aren't they?
Aside from the obvious costs of health care, nappies, housing, and well stacks and stacks of brightly-coloured plastic toys a child aged zero to six is easy to fund compared to when they get to school age.
I have three kids. For me three kids equals three sets of school shoes, three sets of gum boots, three sets of soccer boots, three sets of ugg boots, three sets of thongs, three sets of sports shoes, and if you have girls - three sets of ballet slippers, three sets of those shiny light up shoes, three sets of those diamanté encrusted slips ons...and three sets of those brown ankle boots they will never actually wear because they aren’t sparkly.