WalletHub study reports on child care costs by state in 2026
Child care costs continue to place a significant financial burden on American families, according to a report released June 30 by WalletHub. The study compares child care expenses across all 50 states and the District of Columbia, adjusting for median household income and examining both family-based and center-based care.
The report finds that married parents who both work can expect to spend as much as 14% of their income on child care, while single parents may spend up to 59%. According to Chip Lupo, WalletHub Analyst, "It costs a lot of money to take care of a child’s needs, and many parents are left with the dilemma of whether to forgo one salary to do their own child care for the first few years or to shell out a significant chunk of their income for child care services. Married parents who both work can expect to spend as much as 14% of what they earn on child care, while single parents’ costs can amount to an astounding 59%. Nebraska has the highest child care costs, at 13.6% to 10.7% of the median income for married couples. Interestingly, Nebraska has the fifth-most expensive family child care and the third-costliest child care centers, with child care centers only marginally more expensive than family care. Single parents in Nebraska spend 32.2% to 41% of the median income on child care, depending on the type."
The study ranks Nebraska as the state where married couples spend the highest percentage of their income on child care, followed by California, New York, Oregon, and Washington. For single parents, the District of Columbia tops the list, with Massachusetts, New York, Washington, and California also among the highest. States with the lowest burden for married couples include Iowa, Kansas, Idaho, South Carolina, and Louisiana, while South Dakota, Alaska, Idaho, Utah, and Mississippi are the lowest for single parents.
Key findings from the report show that Oregon has the highest cost of family-based child care for married couples, which is twice as much as in South Dakota, the state with the lowest cost. Hawaii leads in center-based child care costs for married couples, with expenses double those in Mississippi. For single-parent families, the District of Columbia has the highest costs for both family-based and center-based care, at three times and 2.7 times higher, respectively, than the lowest-cost states.
The full report, including rankings for each state and additional commentary, is available on the WalletHub website. WalletHub also provides related studies on early education systems, children’s health care, and family well-being, according to WalletHub.