Lifestyle

Hawaii And New York Named Worst States To Raise A Family On A Budget

Based on median income, state parental leave policies, food costs, housing costs and child care costs, these are the worst states to raise a family.

Hawaii And New York Named Worst States To Raise A Family On A Budget - Lioness MagazineHawaii and New York are the most expensive states to raise a family, while Tennessee and Utah are the cheapest, according to a new ranking released today by GOBankingRates.com.

The leading personal finance website reports on the impact geography has on costs associated with raising a family and scores each state on factors that most contribute to a family’s financial well-being:

  • Median income
  • State parental leave policies
  • Food costs
  • Housing costs
  • Child care costs

“Raising a family can be expensive, regardless of where you live, but it can be especially challenging for families on a budget to make ends meet in certain states,” said Cameron Huddleston, Life + Money Columnist at GOBankingRates. “It’s important that they recognize the high cost of their decision to stay in those locales.”

Additional insights include:

  • Parental Leave Programs: California outshines the rest of the nation with the most favorable parental leave policies, making it the No. 3 overall best state for families to raise kids on a budget.
    • In California, parents are offered 40 hours of parental leave for kids’ education-related activities, 6 weeks of paid family leave and 28 weeks of unpaid leave. Compare that with states like New York, Georgia, and Indiana, which offer none of the above benefits.
  • Child Care Costs: New York ranks as the second overall worst state for families, largely due to scoring dead last with the most expensive child care costs.
    • The average annual cost of infant care in New York is $14,508 compared with Louisiana, the cheapest state for infant care, at $5,655.
  • Food and Homeownership Costs:When it comes to affordability for families, Tennessee comes out on top due to its low costs for the biggest budget items like food, home and child care expenses.

Full Rankings: Best and Worst States for Families on a Budget

1 Tennessee 18 Ohio 35 Arizona
2 Utah 19 Georgia 36 Minnesota
3 California 20 New Hampshire 37 Illinois
4 Virginia 21 Mississippi 38 North Carolina
5 Idaho 22 Kentucky 39 Delaware
6 Iowa 23 Arkansas 40 Maine
7 South Dakota 24 Wyoming 41 Florida
8 Missouri 25 Alabama 42 Connecticut
9 Nebraska 26 Colorado 43 Oregon
10 New Jersey 27 Washington 44 Massachusetts
11 Michigan 28 North Dakota 45 Nevada
12 Oklahoma 29 Maryland 46 Alaska
13 Texas 30 Wisconsin 47 Montana
14 Indiana 31 South Carolina 48 New Mexico
15 Vermont 32 West Virginia 49 New York
16 Louisiana 33 Pennsylvania 50 Hawaii
17 Kansas 34 Rhode Island Source: GOBankingRates