how do you handle the cost of daycare in DC?

[Anonymous]

Anonymous wrote:We can still save almost the max into TSP and some 529 savings with 290 HHI, but nothing beyond that (we're military). We take small trips to see family and eat out only a couple of times a month. All kids (3) have basic IKEA stuff in their rooms and we use the refinished furniture we inherited. My dream purchase would be a brand new bed/mattress and some IKEA sofas right now, but we can't afford it.

???Your post makes no sense as you should be living very comfortably at almost $300K with subsidized child care and very few health care expenses. If you cannot afford mattresses and a sofa at that HHI something is very wrong.

[Anonymous]

Anonymous wrote:Maybe I'm not the norm, but a great daycare/preschool that my DD attends is only $1500 per month (Huge savings over what we were paying the nanny!!). HHI is $375k, so with a $4k a month mortgage, 2 cars, and other expenses we still manage to put away over $10k per month. What are your HHI/daycare costs/budgets that it's not working?

YOU ARE NOT THE NORM

[Anonymous]

Look people, if you are making over $250k in HHI, please don't bother chiming in. We know how you are doing it, you're rich! For the love of god.

[Anonymous]

I don't think over $250k HHI is rich in DC, I think it is the norm. If you buy a house that's within a comfortable range, you should be able to balance other expenses. The $350k HHI poster above has a house well within a comfortable range - which is why s/he is able to save $10k per month. Don't over stretch your budgets people!

[Anonymous]

We delayed children until we could afford it all.

Only the poor who stop working/get public benefits or the super rich can have kids when they want.

[Anonymous]

We bought a house that is smaller / older than we could afford without kids in daycare and preschool.

[Anonymous]

Anonymous wrote:I don't think over $250k HHI is rich in DC, I think it is the norm. If you buy a house that's within a comfortable range, you should be able to balance other expenses. The $350k HHI poster above has a house well within a comfortable range - which is why s/he is able to save $10k per month. Don't over stretch your budgets people!

Ughhh you irritate me. This thread is not for you. Go away.

[Anonymous]

Anonymous wrote:I don't think over $250k HHI is rich in DC, I think it is the norm. If you buy a house that's within a comfortable range, you should be able to balance other expenses. The $350k HHI poster above has a house well within a comfortable range - which is why s/he is able to save $10k per month. Don't over stretch your budgets people!

It is rich in any area. If you can't understand how obnoxious it is to chime in on a thread about how to budget by saying "Oh I save $20k in retirement a year, I make $300k, and it's JUST SO HARD to find an extra $2k for daycare!" you are a dense at best, and insensitive at worst.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We can still save almost the max into TSP and some 529 savings with 290 HHI, but nothing beyond that (we're military). We take small trips to see family and eat out only a couple of times a month. All kids (3) have basic IKEA stuff in their rooms and we use the refinished furniture we inherited. My dream purchase would be a brand new bed/mattress and some IKEA sofas right now, but we can't afford it.

???Your post makes no sense as you should be living very comfortably at almost $300K with subsidized child care and very few health care expenses. If you cannot afford mattresses and a sofa at that HHI something is very wrong.

PP here. We do have a 4K mortgage and we have 3 kids costing us ~$800 each per month. Not counting other expenses such as cars/gas, health insurance, groceries, utilities, and other insurance (life/auto/etc.), personal property taxes in VA....it does not leave us much at the end of the month. I am ok with having old sofas and older bed though, since I am not entertaining the Queen of England $300K HHI before taxes is middle class in DC area. From your post, you're not from the DC area and you do not know jack what costs what for military families.

[Anonymous]

OP here: Thanks for all of your comments--this has been helpful, a little depressing, but informative!

Basically, I need to cut $550 in spending from my budget in order to afford the $1700/month daycare. Then, if I want to have a savings account, I need to cut more. I don't own a home (rent in DC), I own a car (no payment) but mostly take PT, don't spend too much on frivolous things--my life isn't that expensive and I live within my means. I can cut things like eating out for lunch, etc. to make it work but not being able to put away a decent amount of savings monthly stresses me out. My salary is $120k/year and we are a one-income household.

Thanks!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We can still save almost the max into TSP and some 529 savings with 290 HHI, but nothing beyond that (we're military). We take small trips to see family and eat out only a couple of times a month. All kids (3) have basic IKEA stuff in their rooms and we use the refinished furniture we inherited. My dream purchase would be a brand new bed/mattress and some IKEA sofas right now, but we can't afford it.

???Your post makes no sense as you should be living very comfortably at almost $300K with subsidized child care and very few health care expenses. If you cannot afford mattresses and a sofa at that HHI something is very wrong.

PP here. We do have a 4K mortgage and we have 3 kids costing us ~$800 each per month. Not counting other expenses such as cars/gas, health insurance, groceries, utilities, and other insurance (life/auto/etc.), personal property taxes in VA....it does not leave us much at the end of the month. I am ok with having old sofas and older bed though, since I am not entertaining the Queen of England $300K HHI before taxes is middle class in DC area. From your post, you're not from the DC area and you do not know jack what costs what for military families.

I am not the previous poster and I live in one of the MD suburbs and work in DC. $300K HHI before taxes is NOT middle class. Seriously. Omg.

[Anonymous]

Anonymous wrote:OP here: Thanks for all of your comments--this has been helpful, a little depressing, but informative!

Basically, I need to cut $550 in spending from my budget in order to afford the $1700/month daycare. Then, if I want to have a savings account, I need to cut more. I don't own a home (rent in DC), I own a car (no payment) but mostly take PT, don't spend too much on frivolous things--my life isn't that expensive and I live within my means. I can cut things like eating out for lunch, etc. to make it work but not being able to put away a decent amount of savings monthly stresses me out. My salary is $120k/year and we are a one-income household.

Thanks!

OP you probably need to cut more than $550 as you will soon realize that babies are expensive aside from the childcare costs. You will need to spend on diapers, wipes, formula (maybe?), and all the other stuff that you have not thought of.

[Anonymous]

Single mom, two kids in daycare. I manage by using a dependent care FSA, using a family daycare in Mt Rainier, and stretching the hell out of my income tax refund to close the gaps in my budget. The good news is that my oldest will be 3 in January—free pre-k !

[Anonymous]

Anonymous wrote:We have two in infant and toddler programs and we don’t manage. We cut all of the things discussed. If you have student loans like most working people of childbearing age do, there’s no good answer. My husband and I moved even farther from the city, make good money, and our childcare and my student loan payments are my entire salary. And I’m an attorney. We are just resigned to significant credit card debt and are waiting for them to get older.

Sounds familiar.

[Anonymous]

Anonymous wrote:We live in Brookland and daycare just 15 minute drive away to Hyattsville is half the price...just sayin

And you can luck into some reasonably priced daycares in DC as well. Our placement for DD in Brookland is 1/3 the cost of the popular Montessori daycare just down the street, and we’re very happy there.