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PERSONAL FINANCE & LIFE EVENTS · AL-192 · #178

Growing-Family Marginal Cost

Parents price a second child at double the first. Federal spending data says otherwise: housing, transport, food, and healthcare for an additional child run at a fraction of a first child's cost, while childcare stacks at close to full price and the FSA and child-tax-credit caps do not scale at all. Enter your current monthly baseline and the new-child costs you have quoted, and this tool stacks the true marginal: monthly, 18-year, and the cheapest lever you can pull.

Scale-factor defaults are the USDA Expenditures on Children by Families report (2015-16 CEX, its final edition) two-child marginal ratios. FSA cap $5,000 and child tax credit $2,200 are 2025-26 figures. Every default is editable; the tool stores no rate database. data_vintage: user-supplied.
Your current monthly baseline (one-child household)
Marginal scale factors (USDA-stamped defaults, editable)

Each factor is what an additional child costs as a share of your current spend in that category, per the USDA two-child ratios. Childcare is absent by design: it does not scale like the other categories, so it is priced directly in the next card. The child tax credit is a flat amount per child and the dependent-care FSA is a flat household cap, so neither scales either.

New-child direct costs and the caps that do not scale
Paused savings and the cheapest-lever inputs
Monthly Marginal Breakdown
Levers, Ranked by Monthly Relief

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