What Does Childcare Actually Cost? Daycare, Nannies, Au Pairs & the Real Math

Childcare is one of the biggest financial decisions families face - but what does childcare actually cost? In this episode of Family Money, Lindsey Stanberry talks with economist Corinne Low and personal finance expert Farnoosh Torabi about the real cost of daycare, nannies, nanny shares, au pairs, in-home care, and family help. They break down why childcare costs have risen, how to think about childcare as an investment in your career and family, what financial mistakes parents should avoid, and how to plan for the “childcare squeeze” without letting short-term costs derail long-term goals. Follow Family Money on Spotify: https://open.spotify.com/show/033o8jfQ9XZyie5P8TPpHy?si=00221a9e8f9e4b7f Follow Family Money on Apple Podcasts: https://podcasts.apple.com/us/podcast/family-money/id1896826154 Host: Lindsey Stanberry Babylist’s Family Finance Advisor and founder of The Purse https://www.instagram.com/read_thepurse/?hl=en Guest: Corinne Low Associate Professor at The Wharton School and author of Having It All https://www.instagram.com/corinnelowphd Guest: Farnoosh Torabi Personal Financial Expert https://www.instagram.com/farnooshtorabi/ Chapters 00:00 Why childcare feels so expensive 01:37 Why childcare costs keep rising 03:05 Childcare deserts and limited options 04:03 Planning for multiple kids 05:00 Why quitting work may be the wrong math 06:51 The “childcare squeeze” 07:04 Childcare as an investment 08:24 Farnoosh Torabi joins 08:55 Daycare centers and in-home daycare costs 09:40 Nannies, nanny shares, and au pairs 12:13 Questions to ask a daycare provider 12:50 Hiring a nanny and payroll basics 15:26 Dependent care FSA explained 16:22 Common childcare money mistakes 18:47 Why childcare is a household expense 21:23 Balancing cost and flexibility 22:57 Parental leave and childcare planning 24:13 Ways to save on childcare 26:48 Childcare is temporary 27:33 Rebuilding your family budget 28:55 Final thoughts — Create your baby registry and get our free Hello Baby Box: http://bit.ly/babylist-registry Discover more stroller reviews and comparisons: https://www.babylist.com/hello-baby/gear Subscribe: https://www.youtube.com/c/Babylist-Videos?sub_confirmation=1 — Babies are too tiny to use social media, but we aren't! Instagram: https://www.instagram.com/babylist TikTok: https://www.tiktok.com/@babylist Facebook: https://www.facebook.com/babylist Twitter: https://twitter.com/babylist Pinterest: https://www.pinterest.com/babylist **This information is provided for educational and entertainment purposes only. We do not accept any responsibility for any liability, loss or risk, personal or otherwise, incurred as a consequence, directly or indirectly, from any information or advice contained here.