Reliable access to child care is essential to a strong economy. For families around the country, money feels tight and the cost of daily life has become harder to manage. This growing “affordability anxiety” is especially acute for parents of young children, where child care consistently stands out as one of the most significant and unavoidable household expenses. A parent’s ability to consistently and effectively participate in the workforce often comes down to whether they are able to find and afford care. But for millions of working families across the United States, finding affordable, reliable child care has become increasingly difficult.
Today, ReadyNation released an updated report estimating that child care challenges for families with children under age five result in $172 billion in lost earnings and productivity each year. This economic toll has grown significantly from $122 billion in 2022, in part because the analysis now includes families with children under age five rather than focusing solely on those with children under age three.
Read the full study details below:
Impact on Families:
Impact on Employers and Taxpayers:
As FFYF Executive Director Sarah Rittling said, “Strong, reliable child care supports families and fuels our economy. But ReadyNation’s findings reinforce that when parents can’t find or afford care, it’s a huge drain on productivity, businesses, and growth. We are pleased to have this new report which we know has helped bolster support amongst lawmakers for ensuring working families have affordable options.”
Notably, despite the study’s expansion to include families with children under age five, ReadyNation drew a comparison to previous years by focusing on a subsample of families with children under age three in this report. It was revealed that the economic burden of child care challenges still increased substantially over time, specifically for parents who saw a 58% increase since 2018 and a 17% increase since 2022.
New FFYF polling underscores these findings. Our January 2026 poll found:
The past seven years of ReadyNation data demonstrates an upward trend concerning the practical and economic consequences of insufficient child care on employers, workers, and taxpayers. To support a strong, productive workforce and a robust economy, policymakers must support evidence-based policies that strengthen the child care system. These findings, alongside current FFYF polling, emphasize the need for policymakers to continue their bipartisan support of child care solutions that strengthen the child care infrastructure in this country to uplift working families and propel our economy forward.