Children are more expensive now than twenty years ago? ‘The big difference in home and car’ | money counter

Countless diapers, an extra mouth each day to feed her and nanny costs. Parents get a lot of love in return for their children, but it doesn’t come cheap. Certainly not coupled with the current inflation, rising energy costs and higher housing prices. How much will a child cost in 2022 compared to twenty years ago?

Anyone who can have a baby has to invest a lot of money before birth, such as furnishing the baby’s room, making the house safe for the children, and actually buying new clothes. According to Nibud, you will spend 688.10 euros on this and this one-time expenditure only. After delivery, diapers, baby food and childcare costs are also added up.

Statistics Netherlands calculated that one child costs, on average, about 15 percent of the disposable income of a two-parent family. Thus, this is the salary and vacation allowance, but also the child’s budget and other allowances. Those who are allowed to have two children spend an average of 25 percent of their disposable income. This percentage increases less quickly as more children come. For example, three children cost 29 percent of disposable income and four children 35 percent.

Those who are single – that is, single-parent families – pay much more. For example, one child costs an average of 23 percent of disposable income. With two kids that’s 31 percent, three kids that’s 37 percent and four kids that’s 42 percent.

These costs relate only to expenses that are spent solely on the child. The purchase of a larger car or a more spacious house – due to the expansion of the family – is not included in this calculation. And these are exactly the two aspects that have become much more expensive in recent years.


Of course everything became more expensive, but the salary also increased

Jasper Barkhout, Raisin’s Official Spokesperson

Difference costs for a twenty-year-old

That’s why the savings platform Raisin investigated how different all costs to a child are than they were twenty years ago. “Beginners now have to make even bigger financial considerations than before when they decided to go baby,” says Jasper Berkhot, a spokesperson for Raisin. “For example, it is now much more difficult to get a mortgage, especially if you want to continue living in a big city.”

Therefore, Barkhout is convinced that these “extra” costs cannot be ignored. “It’s really an important part of choosing to have a child.” People are becoming more aware of known costs, such as diapers.

“What someone spends on a child twenty years ago has not increased relatively much. Of course everything has become more expensive, but the salary has also increased. The average annual net salary in 2002 was about 24,924 euros. In 2022 that will be 35,193 euros, an increase At least 41 percent. The really big difference is buying a bigger home or car,” says Barkhut.

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This is how much a child costs at least

Raisin gave an example in arithmetic with a two-parent family with one child. Both parents work full time and earn an average salary of €70,386 in net salary. In 23.5 years (until the child becomes independent, according to Raisin), it will be able to cost at least 394,866 euros. Twenty years ago this was about 362,006 euros.

With the amount above, Raisin also factored in a higher mortgage in 2022, because the parents have moved. “Over the past 20 years, the median home price has gone up 107 percent,” Barkhout says.

It also became more expensive to buy a new car. Calculations show that replacing a five-year-old Volkswagen Polo with a new Skoda Octavia costs about 14,015 euros. Twenty years ago, an investment of 10,200 euros was required. “So it is an important cost element that people don’t usually think about when they are trying to get pregnant. However, it often happens to many beginners that they need a new car. So it is important to keep these costs in mind.”

In the end, according to Raisin, parents now pay 32,860 euros for a child over twenty years old. In a single-parent family, this amount is 52,609 euros. “That’s a lot of money. Especially with the current inflation. So it’s important that people realize that and keep track of their finances.”

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