Estimated Monthly Savings: $200
Raising a child can cost as much as $12,000 during the first year. This includes all the daily essentials but childcare costs can take over a budget quickly. Here are some essentials to help you save money on childcare expenses for school-age children.
Contribute to a Dependent Care Flexible Spending Account
This is a benefit offered by employers that allows you to put aside money for childcare expenses like after-school care, daycare or day camps for any child until they reach the age of 13 to help offset the costs of working parents. All the money put aside is pre-tax and reduces the amount tax you will pay at the end of the year. It is deducted regularly from your paycheck and users submit expenses to the account provider for reimbursement.
Create a Neighborhood Parent’s Group
Consider creating a parent group that allows you to work most days and shares the responsibilities of after-school duties. This group is a parent sharing opportunity that is at no cost to anyone in the group.
Find Free or Other Low-Cost Childcare Options at School
For kids of school age, some schools offer free or low cost after school options including homework help clubs, science groups even yoga and meditation groups. If your school doesn’t currently offer one, see if you can start them up through your PTA with parent involvement.
When it comes to childcare costs, anywhere you can cut expenses means more funds other fun activities. Work together with your local community to develop affordable options.
