More families are paying >$2000 per month on child care

Summary

• The share of households paying more than $2,000 per month for child care has more than doubled since 2023, reaching 7.7% year-to-date in 2026.
• The share of households paying $1,000 or less per month for child care has fallen from approximately 73% to 68%.
• Growth in median child care payments has moderated since February 2026.
• The number of households making child care payments has declined since the start of 2025.
• Child care \& other school-related fees have recently outpaced the price growth of other essential household services, including rent \& medical care, according to Bureau of Labor Statistics data.
• The data is derived from selected Bank of America transaction data, including spending from active US households with a minimum of five monthly transactions, excluding corporate cards.
• Spending data is classified using Merchant Categorization Codes mapped to the North American Industry Classification System.
• The report was authored by Liz Everett Krisberg, Head of Bank of America Institute, \& David Michael Tinsley, Senior Economist, Bank of America Institute.