Oregon Parents Pay More Than a Quarter of Their Paychecks to Cover Childcare
Oregon is ranked as the 10th most expensive state in the U.S. for childcare, spending an average of 25.47% of annual income on fees, underscoring the financial strain on families throughout the U.S. who face funding freezes on federal childcare support programs.
Oregonians Spend an Average of $12,738 on Childcare
The average income in the Beaver state is $50,010, while the average childcare fees are $12,738.
These figures are a far cry from the 7% affordable childcare costs advocated by the Department of Health and Human Services.
That figure is a pipe dream for many Oregon families who are facing soaring prices and childcare costs that are becoming increasingly unaffordable, particularly for single-parent families.
The results are revealed in a new study by the personal injury law firm, DeMayo Law, which shows that Massachusetts is the most expensive state in the country for childcare, costing parents 30.29% of their annual income.
At the low end of the scale is Mississippi, where parents spend an average of 12.36% of their annual income on childcare.
In Oregon, infant care is the most expensive, costing parents an average of $14,194 annually. This figure translates to a whopping 28.38% of the state’s median income.
The study shows that Oregon parents pay 106.1% more of their income on childcare than in Mississippi, 0.5% more than in New Hampshire, which placed 11th.
According to the study. families in the most affected states are reportedly spending over 28% of their annual income on center-based childcare.
The Top 10 States With the Highest Childcare Costs
| Rank | State | Median Annual Income (2023) | Average center-based price (2023) | Average Percentage of Income Spent on Childcare |
|---|---|---|---|---|
| 1 | Massachusetts | $60,690 | $18,380 | 30.29% |
| 2 | New York | $56,840 | $17,119 | 30.12% |
| 3 | Nevada | $44,810 | $13,106 | 29.25% |
| 4 | Hawaii | $50,510 | $14,584 | 28.87% |
| 5 | Minnesota | $50,880 | $14,435 | 28.37% |
| 6 | California | $54,030 | $15,112 | 27.97% |
| 7 | Wisconsin | $47,590 | $12,990 | 27.30% |
| 8 | Connecticut | $56,130 | $15,063 | 26.84% |
| 9 | Vermont | $49,630 | $13,030 | 26.25% |
| 10 | Oregon | $50,010 | $12,738 | 25.47% |
The Top 10 States With the Lowest Childcare Costs
As previously mentioned, Mississippi is the cheapest state in which to live, with an annual expenditure of 12.36%.
The other nine states in this category, in descending order, are Kansas (16.03%), South Dakota (16.29%), Kentucky (16.95%), Arkansas (17.16%), Wyoming (17.35%), Idaho (17.38%), Tennessee (17.40%), Alabama (17.88%), and North Dakota (17.98%).
Michael DeMayo, founder of DeMayo Law, says parents in Massachusetts and New York are dedicating nearly a third of their income to childcare expenses, limiting their ability to save for the future or cover other essential needs.
DeMayo suggests that policymakers consider taking steps to make childcare more affordable and accessible. This, he says, will eliminate the need for parents to choose between their careers and quality care for their children.
Methodology
The annual cost of center-based childcare was obtained from the National Database of Childcare Prices, while median annual income data per state was collected from the Bureau of Labor Statistics for the year 2023.