Child care in the United States has become prohibitively expensive, surpassing the cost of rent in most major metropolitan areas. This crisis forces families into impossible choices, disproportionately harming low-income households and perpetuating systemic inequalities. The problem isn’t just financial; it reflects a deep undervaluation of care work and a lack of political will to treat child care as essential infrastructure.
The Affordability Gap: A National Emergency
Recent data confirms that for families with two young children, child care costs now exceed average rental rates in the 100 largest U.S. cities. The average annual cost for one child has risen by $3,700 since 2017, reaching $13,100 in 2024. This burden forces parents to weigh options like one parent leaving the workforce or forgoing essential expenses to make ends meet.
This issue is not new: costs have remained consistently high while rent prices have seen slight increases. The gap is most extreme in cities like Omaha, Nebraska, and Milwaukee, Wisconsin, where two children in care cost more than double the average two-bedroom apartment.
The Provider Squeeze: Low Wages and Rising Expenses
The financial strain isn’t limited to parents. Child care providers face razor-thin margins, struggling to pay workers a living wage while keeping services affordable. The average hourly rate for child care workers in Pennsylvania is just $15—lower than many retail positions that offer signing bonuses and higher starting pay.
Providers are caught in a vise between rising operational costs (food, insurance, etc.) and the need to maintain competitive prices. Some report insurance expenses tripling, forcing them to absorb losses or pass them on to parents. State reimbursement formulas often fall short of actual costs, leaving providers to seek grants or second jobs to stay afloat.
Systemic Undervaluing: Gender, Race, and Policy Failures
Experts say the child care crisis is exacerbated by outdated attitudes and policy failures. Some lawmakers still cling to the notion that childcare is primarily a parental responsibility rather than a societal need. This sentiment is particularly pronounced in states with conservative legislatures, where public funding for early childhood education remains inadequate.
The crisis disproportionately affects Black women, who make up a large percentage of the child care workforce. Their labor is historically undervalued, with providers often seen as “babysitters” instead of educators. This devaluation contributes to low wages and poor working conditions.
The Broader Consequences: Economic Impact and Learning Gaps
The lack of affordable child care has far-reaching economic consequences. It limits workforce participation, forces parents to choose between work and care, and widens learning gaps for young children. Schools are increasingly recognizing the impact of early childhood deprivation, with some districts expanding pre-K programs to address academic and social skill deficits.
Businesses are also sounding the alarm: the lack of affordable child care disrupts employee schedules and hinders productivity. Chambers of commerce are lobbying for increased state subsidies to ensure a stable workforce.
Without affordable child care, communities cannot function effectively. It is critical infrastructure, not a luxury.
The child care crisis is a systemic failure with deep roots in economic inequality, gender bias, and political neglect. Addressing it requires comprehensive policy changes, including increased public funding, fair wages for workers, and a fundamental shift in how society values care work.
