Nearly 1 in 4 younger Americans are not planning to have children primarily due to finances, according to a survey from MassMutual.
The survey, which was released Tuesday, found that 23 percent of surveyed millennials and Generation Z Americans are not planning to become parents because of financial reasons. Of those who said they are not planning to have kids, 31 percent said it was due to the political and social world their children would grow up in.
Data released in August this year by the Centers for Disease Control and Prevention (CDC) found that births in the U.S. dropped again between 2022 and 2023. The U.S. birth rate dipped by nearly 23 percent between 2007 and 2022, according to the CDC’s data.
The MassMutual-commissioned survey also found that not being able to take care of children and fondness of monetary freedom were equally cited as reasons to not have children (43 percent each).
“With today’s financial stressors, it is understandable why there is a growing trend among young adults to prioritize financial security over parenthood,” Paul LaPiana, head of brand, product and affiliated distribution with MassMutual, said in a statement. “This shift reflects a broader understanding of the importance of financial stability and independence in achieving long-term goals that every generation must reckon with.”
A Pew Research Center survey from late July this year found that 47 percent of adults under 50 without kids said they will likely not become parents. Around $22,000 is needed to raise a small child in the country, according to a LendingTree study that came out last year. The cost of childbirth has gone up threefold.
The MassMutual poll also found that around 51 percent of those surveyed said they are anxious about not having enough money to support their kids. The biggest child-related costs were food, at 57 percent, and clothing, at 51 percent.
The survey was conducted July 1-26 among 1,000 American adults.