Help! Do kids really cost this much to raise?

The cost of living has skyrocketed in recent years, particularly for those with young families. The day-to-day expenses of raising a child mount up. But spend smart and you’ll not only feel less financially stretched, you’ll also set a good example for your kids.

Most parents budget for their newborns’ necessities. But growing children can bring a range of unexpected expenses, from the latest must-have trainers to school trips.

Today, the average cost of raising a child in the UK to the age of 18, excluding childcare and housing costs is more than £75,000 for a couple and more than £120,000 for a solo parent.

While you can’t put a price on the joy of parenthood, here are a few ways to keep costs down along the way.

Check your Child Benefit entitlement

Gov.uk has lots of helpful calculators (Opens in new window) to check whether you qualify for Child Benefit, Child Tax Credits and other financial help, including if you're a student or your child is disabled. If you're eligible for help, claim it.

All families qualify for Child Benefit; however, if one parent earns £60,000 or more, they'll pay a tax charge which could effectively cancel out the payment.

If you don't need the extra help day-to-day, you may want to consider setting it aside in a savings account or a cash Junior ISA (JISA). With compounding interest, those regular £10 or £20 contributions could grow into a decent sum by the time your child is a young adult. Alternatively, you may wish to consider an investment Junior ISA, where compounding can also help any returns. Remember that as with any investments, a JISA's value can go down as well as up.

The big one: childcare

The weekly average cost of a part-time nursery place for a child under two years old in Great Britain is now £157.68, or £302.10 for full-time care. Childminders are slightly cheaper at a full-time average cost of £253.97 per week.

Parents should take advantage of the government help available, which has been extended in recent years. Once your child is nine months old, you’re entitled to up to 15 hours of free childcare a week.

For children aged three to four, this may increase to 30 hours per week subject to your eligibility. Make sure you register for an account with gov.uk (Opens in new window) to get access.

Dressing to impress

Kids grow quickly, and as they get older, there can be extra pressure for them to have the latest brands and styles. But clothing doesn’t have to come at a massive cost.

If you’re buying new, check out discount retailers or outlet stores – the travel expenses may cost a little more, but the savings can be significant.

Otherwise, consider shopping secondhand. Charity shops often have small sections of childrenswear, while resale apps and platforms may offer broader ranges of styles and sizes.

And for an even more affordable option, friends and family may be able to provide hand-me-downs at next to no cost. Similarly, organising a clothing swap with other new parents can be both eco- and budget friendly.

Travel, entertainment and days out

Whether you travel or stay in town, school holidays can be expensive so it’s worth planning ahead.

Most entertainment, from theme parks to heritage sites and aquariums to local lidos, are cheaper if you book online and in advance – and doing so can save you time in the queue, too.

If you’re travelling by train, try split ticketing, which allows you to take advantage of the cheapest combinations of trips between your origin and destination. If you use the train regularly, the Family & Friends Railcard can reduce adult fares by up to a third and childrens’ tickets by 60 per cent, and individual networks may have their own offers combining family travel and tickets to attractions.

For holidays or half-term breaks, consider housesitting or home swaps for creative and cheap ways to get away. You may have to water the plants and feed the fish, but some places may even pay you for staying.

If your kids are desperate for a dog or a cat, you can try petsitting services, too.

Kids can be incredibly expensive. But some forward planning, simple swaps and lucky breaks can help to soften the blow.

Introducing Nutmeg

Introducing Nutmeg, the digital wealth manager that's part of the Chase family. You can now open a Junior Investment ISA with Nutmeg (Opens in new window) and keep an eye on your investments through the Chase app (Opens in new window) – so you can see everything in one place.

Recommended reading

• Tips on returning to work after parental leave
• Easy ways to save for your kids
• Is it time for a financial tune up?