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* Two earners...until you have kids and look into the price of daycare for say 2 kids...then it literally makes $ sense to have 1 spouse stay home. The cost of
by ianceicys 4y ago
* Two earners...until you have kids and look into the price of daycare for say 2 kids...then it literally makes $ sense to have 1 spouse stay home. The cost of daycare and childcare has significantly outstripped inflation since the pandemic.
- almost_usual 4y agoYep, paying $1900 a month for daycare for one kid right now.
- drdo 4y agoWhere do you live that daycare for 2 kids costs more than one full-time salary?
- almost_usual 4y agoReally depends on what the spouse does for a living but in the Bay Area Peninsula two kids is easily $4000 a month for daycare. If you both are making FAANG comp sure, keep working. If your spouse is a teacher? Maybe not.
- drdo 4y agoGiven those numbers maybe the right move is to open a daycare!
- midoridensha 4y agoThe right move for everyone is to stop having kids. Wait until things change so that it's economically comfortable to have kids, though this may take a generation or two.
- deleted 4y ago[deleted]
- nostrademons 4y agoChallenge is housing costs. A 3/2 SFH will run about $2M, which at current interest rates is about $12K. It takes childcare income from 6 kids just to pay the mortgage, and sole-proprietorship home daycares are limited to 8 kids total (less if some are infants). For people who already own their own home, though, it's a pretty attractive living if you like kids. Most of the home daycares we looked at are run by people who bought ~10-15 years ago, and they make a very good living, and oftentimes have the house fully paid off. Either that or they bought recently but are pooling resources from multiple family members to afford the house, and then have them helping out with the childcare.
- francisofascii 4y agoThe 2nd wage earner gets hit with the marginal tax rate. So you have to factor in roughly a 30% ish reduction of that 2nd salary, not to mention transportation and other expenses. And tech workers don’t always marry high salary tech workers.
- chiefalchemist 4y agoThat's the irony. Both parents work and the market swallows a good chunk of the second income. But now, simultaneously, there are two income households with zero kids. That's the new benchmark. I'm not going to judge / critique / question why it is, but the shift from one income per household to two has create economic chaos. Chaos we have yet to come to terms with. But more irony, from an economic POV there are couples opting out of families because of the costs. And the new benchmark nudges up...
- almost_usual 4y agoMy friends without kids typically find ways to spend money doing other things, people need to occupy time. They travel more, have memberships to wineries, and eat out multiple times a week. People without kids also tend to compete in different areas for housing. A place with a great view in a bad school district could be appealing. Where people with kids typically want a SFH in the burbs in a good school district. Really the strongest competitor in the housing market is the older generation with more disposable income and a house(s) already.
- chiefalchemist 4y agoThe age doesn't matter, more "disposable" income will drive up prices. A home here, a home there, comps. Poof! Prices nudge up. And you don't see the younger ones because, yes they still have economic headroom to travel.