The Cost of Raising a Child

14
Sep

Very few new parents are completely prepared for all the responsibilities of raising a child – least of all the cost associated with adding a member to their family. In fact, for the overall United States, annual child-rearing expense estimates ranged between $12,800 and $14,970 for a child in a middle-income family with a two-child household1.

mbs-raise-child-To keep up with the rising costs of caring for their children, more mothers are returning to the workforce after their children are born. In March of 2013, 70.9% of women with children under the age of 18 were working outside the home2.

The high price tag that comes along with having children is one of the reasons why many couples choose to purchase term life insurance coverage when they start a family. As difficult as it is with two parents contributing to the care and financial well-being of a child, it would be even harder, should one parent die, leaving the other to support the family on one income. And if you are already a single parent, it is important to help ensure the financial security of your children, should something happen to you.

Many parents choose to purchase a term life policy of up to 10-times their annual income, to help provide their spouse with the money needed to pay for housing, clothing, educational, and child care needs if they were to die. It’s protection many families think they’ll never need, but are glad they have, should the worst happen.

To learn more about the life insurance plan available to you as a member of the State Bar of Texas, please call or visit the Texas Bar Private Insurance Exchange for more information.

[1] U.S. Department of Agriculture, Expenditures on Children by Families, 2013

[2] U.S. Department of Labor, Bureau of Labor Statistics, “Women in the Labor Force: A Databook,” 2014.

Coverage under the Group Term Life Insurance Plan is issued by The Prudential Insurance Company of America, 751 Broad Street, Newark, NJ 07102. Plan details, limitations and exclusions are described in your certificate. Contract Series 83500. CA COA# 1179, NAIC 68241.

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