How much annual income needed to raise 2 children in D.C?

[Anonymous]

Anonymous wrote:My apologies if this question has already been asked. I'm trying to plan my future here. Whether it's a single income or dual income household how much is needed to raise 2 children while living in D.C. I'm referring to reasonable needs only and not luxuries like annual vacations, expensive cars, ridiculously expensive house, expensive private schools etc. What's the bare minimum you should earn to raise 2 children without living paycheck to paycheck in a safe neighborhood with good public schools.

Washingtonian Magazine did a feature on this topic once (maybe annually for a while)
I think they came out at $400K as a bogey to hit what most would say is the benchmark here in our area --- two kids in private school, annual vacation, inside the beltway house, charitable giving, club sports, etc..

[Anonymous]

Anonymous wrote:

Anonymous wrote:My apologies if this question has already been asked. I'm trying to plan my future here. Whether it's a single income or dual income household how much is needed to raise 2 children while living in D.C. I'm referring to reasonable needs only and not luxuries like annual vacations, expensive cars, ridiculously expensive house, expensive private schools etc. What's the bare minimum you should earn to raise 2 children without living paycheck to paycheck in a safe neighborhood with good public schools.

Washingtonian Magazine did a feature on this topic once (maybe annually for a while)
I think they came out at $400K as a bogey to hit what most would say is the benchmark here in our area --- two kids in private school, annual vacation, inside the beltway house, charitable giving, club sports, etc..

I don't think kids in private school is a benchmark here. The houses you mention are the prices they are because of the public schools.

[Anonymous]

Anonymous wrote:

Anonymous wrote:My apologies if this question has already been asked. I'm trying to plan my future here. Whether it's a single income or dual income household how much is needed to raise 2 children while living in D.C. I'm referring to reasonable needs only and not luxuries like annual vacations, expensive cars, ridiculously expensive house, expensive private schools etc. What's the bare minimum you should earn to raise 2 children without living paycheck to paycheck in a safe neighborhood with good public schools.

Washingtonian Magazine did a feature on this topic once (maybe annually for a while)
I think they came out at $400K as a bogey to hit what most would say is the benchmark here in our area --- two kids in private school, annual vacation, inside the beltway house, charitable giving, club sports, etc..

So only 1 percenters can breed?

[Anonymous]

We make a little over $250k combined, but do feel a little stretched right now. 2 kids in daycare (about 45k a year), a hefty mortgage ($3800) but we both have less than 20 minute commutes, which is important to us ... combine with maxing out 401k, college savings and there isn't a ton left. That being said, we do not have to pinch every penny or be concerned about home repairs, etc. I'm looking forward to a little bit of breathing room next year when the oldest goes to K next year.

[Anonymous]

The Washington Post did an article on this a year or so ago--if you want to be able to save as recommended by financial planners for retirement and have two kids in a high quality, certified daycare, then you will need about $110-125K. There was also a recent article about how much you need to rent a 2 bedroom apartment, and it was about the same.

[Anonymous]

If you want to live in DC and you want decent public schools K-12 and you're starting from scratch in 2016 (i.e. you have zero equity and are purchasing at 2016 prices) then you're looking at $250K and up for a reasonable quality of life and the ability to save for retirement and some for college.

There are plenty of people on this website who do it for less but they're omitting the fact they don't live in the District proper or they bought in 1998 (or even in 2006), or they have family money, or they used to be in big-law and saved up $500K for a down payment, or they are raising 2 kids in a one bedroom,
or their kids are under 3 and home with a SAHM, or any number of extenuating circumstances that make living on less possible.

[Anonymous]

How old are your kids? If you're still paying for daycare/preschool that changes the numbers substantially. We make just under $200k combined and just about make it work. Small house where the kids share a room but in a neighborhood with good enough schools once they're old enough. One old car so no car payment. No nanny so we arrange our schedules to cover when preschool is closed. No house cleaner so one day each weekend is mostly chores. One vacation a year. We are not struggling but on our income I would have thought we would be more comfortable. That's DC though.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Sorry OP, there have been tons of threads like this and they always devolve into insane circle jerks.

Once you pump out a couple of kids, whatever income you have will have to do. People have done it successfully (and unsuccessfully) with 30k, and with $1M+. It's all about your consumption and parenting choices.

+1. End thread.

Exactly. OP, this question is impossible to answer. Everyone's situation is different. We make a little under 200k but also have a paid-off house and save minimally for college and retirement due to inheritance (already received, not expected). Nice newish cars paid off, go out all the time, expensive daycare (40k+/yr) etc.

The not having to save for college and retirement due to an inheritance (not to mention the paid off house which may have come with family help) changes the calculus enormously. When you take away three of the biggest expenses most people have, sure it becomes easy to live on $200k and still have a lot of luxuries. Without that help, PP could never afford what she does and would have to dramatically alter her lifestyle to live on that salary. It is certainly doable, but it is a very different situation without the fanciest daycare, new cars, etc.

[Anonymous]

Anonymous wrote: ...but it is a very different situation without the fanciest daycare, new cars, etc.

This idiot still doesn't get it.

[Anonymous]

Anonymous wrote:My apologies if this question has already been asked. I'm trying to plan my future here. Whether it's a single income or dual income household how much is needed to raise 2 children while living in D.C. I'm referring to reasonable needs only and not luxuries like annual vacations, expensive cars, ridiculously expensive house, expensive private schools etc. What's the bare minimum you should earn to raise 2 children without living paycheck to paycheck in a safe neighborhood with good public schools.

I'd say 150K HHI. With enough of a down payment saved - at least 100K so you''ll look good on paper - you should be able to buy a SFH or a townhouse in UpperNW (where the Wilson/Deal school system is). Those as far as I know are the only reputable full public school system inside of D.C. Now if you do charter maybe you could live in another part of the city.

Wishing you luck!

[Anonymous]

We are doing it on $170k and it isn't quite enough. We have two kids in DCPS, a $450k mortgage (thanks to buying a decade ago), and live in the middle of DC. We earned a little less during the nanny share years and it was more of a struggle. We are saving well for retirement and some, not really enough, for college. Vacations are always visits to family.

I say it's not quite enough because we carry a balance on our credit card and have no wiggle room on schools--we love our elementary but are going to be relying on charters for middle and high school. We don't make enough to send even one kid to private, and we aren't saving much outside of retirement/college.

So I'd say: to be truly comfortable in DC, $200k is good. But we are very happy, love our house/school, and are certainly not poor.

[Anonymous]

We're doing it with one kid on 100k. We're doing fine. It would, of course, be tighter with two - the cost of daycare and aftercare.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The median is about 80k. I can't see a family of four living without a good deal of stress for less than 120-150. Even there, things will be tight.

+1

My take home (after taxes, health ins., 401k) is 70K. I could do two kids on it, but the approach is really going to depend on there ages. You won't get safe neighborhood/good schools for less than this, however.

+1 except for the part about 'safe' neighborhoods
I think we all know what that is code for and any way, safety is an illusion

[Anonymous]

I would like to say that it is fukked that this country has gotten to the point where child care is this expensive. what ramifications does this have on our society?
all the coporate tax breaks and no one has $ for Child care subsidies

[Anonymous]

Anonymous wrote:We are doing it on $170k and it isn't quite enough. We have two kids in DCPS, a $450k mortgage (thanks to buying a decade ago), and live in the middle of DC. We earned a little less during the nanny share years and it was more of a struggle. We are saving well for retirement and some, not really enough, for college. Vacations are always visits to family.

I say it's not quite enough because we carry a balance on our credit card and have no wiggle room on schools--we love our elementary but are going to be relying on charters for middle and high school. We don't make enough to send even one kid to private, and we aren't saving much outside of retirement/college.

So I'd say: to be truly comfortable in DC, $200k is good. But we are very happy, love our house/school, and are certainly not poor.

I'd get out of debt like my balls were on fire if I were you