Childcare Cost Calculator
Estimate annual childcare cost by care type and city tier. Compares daycare, nanny, au pair, and family-shared arrangements.
What this calculates
Childcare is the single biggest expense for many young families — often more than rent or mortgage in high-cost cities. This calculator estimates annual cost by care type (daycare, nanny, au pair, family share) and city tier, helping you compare options.
Formula & how it works
Annual cost = weekly_rate × weeks_per_year (typically 50). Weekly rates by care type and city tier vary widely: daycare $200-500/week, nanny $600-1200/week (with taxes/insurance $700-1500), au pair $400-500/week (excluding agency fee $8K-10K/year), family share $300-600/week.
Worked example
Two kids in daycare, high-cost city ($450/wk each). Annual = 2 × 450 × 50 = $45,000. Nanny for both (often only 10-20 % more than 2× daycare for one): $1,400/week effective × 50 = $70,000. Family share splits: $700/wk for both kids = $35,000.
Frequently asked questions
What's the most affordable option?
Family share (2 families with 1 nanny each for ~half-time at one home) usually beats daycare in HCOL cities and ties in LCOL. Au pair has cheapest weekly rate but requires live-in space and agency commitment.
Does the US Dependent Care FSA help?
Yes — up to $5,000 pre-tax annually saves 25-40 % off that amount depending on your bracket. Only $5K limit means it's helpful but doesn't move the needle on a $40K bill.
When does it stop being so expensive?
Kindergarten (age 5) typically. After-school care for K-5 runs $200-400/month, an order of magnitude less than preschool daycare. Summer camps fill that gap.
Stay-at-home parent math?
Compare full childcare cost vs. lost income (after tax). Often the math favors working if either parent's net pay exceeds childcare. But intangibles (career break gap, retirement contributions, role flexibility) matter too.