Rs 45 lakh for raising a child? Why parenting feels like a luxury now

India Today

7 hours ago

Starting a family is a dream for many young couples in India. But these days, money worries are making that dream feel out of reach for some. Raising a child in urban India now costs almost Rs 45 lakh, making it an expense many young couples simply can't justify. Bengaluru-based startup founder Meenal Goel, broke down the numbers in a LinkedIn post, showing how middle-class parenting is turning into an unaffordable luxury.advertisementShe wrote, "Cost of raising a child in India is ~ Rs 45 lakhs! We are scared to have a kid, because we cannot afford it. I recently met a couple who said this, and honestly, they're not wrong." The financial demands during this phase are substantial, requiring careful budgeting and planning. Moreover, these early years set the foundation for future expenses, making it essential to plan ahead.Goel further wrote, "So I sat down and did the math. What does it actually cost to raise a child in India in 2025?"
She broke it down stage by stage. From birth to preschool, expenses quickly accumulate. Hospital delivery costs range between Rs 1.5 and Rs 2.5 lakhs, while vaccinations can add another Rs 30,000 to Rs 50,000.advertisementEssential items such as baby gear, food, and diapers account for approximately Rs 3 lakhs. Additionally, the cost of playschool and daycare can be around Rs 2.5 lakhs, bringing the total to Rs 7–8 lakhs by the time the child reaches school age.She further wrote that the school years, from ages 6 to 17, represent a significant portion of the financial commitment. School fees alone can amount to Rs 12 lakhs. Extra tuition and coaching could add Rs 3 lakh. Gadgets, uniforms, books, and activities take up another Rs 2 lakh, bringing this phase to about Rs 17 lakh.It doesn't end there. Higher education costs are rising too. College can take another Rs 13 lakh if you add up private college fees, hostel stay, food and other living costs.Add all this up and the price of raising just one child lands between Rs 38–45 lakh, writes Goel. "Finance is a real fear when it comes to family planning. Are you also planning to have a kid in 2025 and feeling the money pressure?" Goel pointed out.Put simply, the rising cost of living, expensive schooling and high healthcare expenses are making young couples think twice. Some are postponing or rethinking parenthood altogether.advertisementThough starting a family is a personal choice, money has become a big deciding factor. With expenses only set to rise, smart saving and planning ahead could ease the strain for future parents.- Ends