North Carolina Families Need $185K To Afford Childcare
By Ben Tobin – Reporter, Triangle Business Journal
In North Carolina, the median family income is less than half what is needed to comfortably afford childcare in the state.
That is according to Consumer Affairs, which analyzed average annual full-time, center-based toddler childcare costs in each state using 2025 data from Child Care Aware of America, an advocacy group. In a study published last month, the group found that while the average median family income in North Carolina sits at $90,290, the income needed to afford childcare in the state is $185,153.
Childcare affordability could be costing North Carolina’s economy, as enrollment has declined and centers have closed at a rapid clip in recent years. Triangle Business Journal reported in March 2024 that the North Carolina economy is losing $3.5 billion annually in lost wages, productivity and revenue from inadequate childcare supply for children age 3 and under.
The “income needed to afford childcare” is the annual household income required to keep the average cost of full-time, center-based toddler care at or below 7% of income, a federal affordability benchmark, per the Consumer Affairs report.
“This affordability problem means (families) are faced with difficult choices, such as forgoing paying for other family expenses to afford childcare,” Sandra Bishop, senior director of research at Child Care Aware of America, said in the report.
The average annual cost of full-time, center-based toddler care in North Carolina is $12,960, according to the report. That is below the national average of $14,336 but higher than several neighboring states, including Tennessee at $12,800, Georgia at $10,537 and South Carolina at $10,349. Virginia, meanwhile, has a higher cost at $16,380.
Those costs consume 14.4% of North Carolina’s median family income, roughly in line with the 14.3% national figure. The burden varies considerably across the country, however.
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