› Budget101 Discussion List Archives › Budget101 Discussion List › Where the money goes
- This topic has 0 replies, 1 voice, and was last updated January 8, 2008 at 1:17 am by Liss.
- AuthorPosts
- January 8, 2008 at 1:17 am #255038
Liss
KeymasterWhere the money goes
Before you can budget, you need to know where the money is going.
“The top five expenses for working families are housing, child care,
health insurance, food and clothing,” says Yasmina Vinci, executive
director of the National Association of Child Care Resource &
Referral Agencies in Washington, D.C
Child care, ranked the second-highest cost, consumes an average 9
percent of
America’s working families’ monthly income, according to a study
released by
the Urban Institute last year.
The harsh reality is that the cost of child care is directly related
to its
quality.
“Parents have less money when their children are young, and that’s
when the
costs for care are so high,” says Vinci. “Even so, this is not the
place to
cut corners. Our children are an important investment. We know that 90
percent of the brain’s development takes place before age 5.”
What’s a mom to do?
Examine carefully all your options. Weigh safety, kindness and
professional
attitudes of caregivers, ratio of children to teachers and the
happiness
factor when making your decision. Visit several centers before
placing your
child. Do your research and be flexible to maximize savings.
Talk to local experts
Find and talk to your local child-care specialists. Child-Care
Awareness is a
nonprofit initiative that helps parents find quality care in their
communities. This organization will help you sort out your options,
from the
cost to the quality. Plus, they’ll help determine whether you qualify
for
government subsidies or other financial grants if your income is
borderline.
Talk to your employer
Many companies offer a flexible spending account for dependent care.
Flexible
spending accounts allow you to deduct up to $5,000 in pretax dollars
annually
from your paychecks. You can withdraw this money to pay for licensed
child-care expenses.
Your employer may have a partnership with a day-care facility that
provides
discounted rates to its employees. Again, quality before cost
savings! Make
sure you’re comfortable with your child’s care.
More employers are offering flexible scheduling. Ask about flexible
hours,
job-sharing or telecommuting. Arrange your work schedule to alternate
with
your spouse’s or relative’s to reduce the amount of time your child
will have
to spend in daycare.
Do you know a co-worker with similar backgrounds and parenting styles?
Perhaps you can split the cost of home child care.
Take the pre-K initiative
If your public school district offers a half-day pre-K program for
4-year-olds, enroll your child. It’s free and reduces child-care
costs to
half-day rates.
Another pre-K initiative, Head Start, offers early learning child-
care for
100-percent poverty level and special-needs children. They often have
a
working collaboration with child-care facilities for additional hours.
- AuthorPosts
- You must be logged in to reply to this topic.
› Budget101 Discussion List Archives › Budget101 Discussion List › Where the money goes