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Access – Childcare Cost Burden

This indicator reports the childcare costs for a household with two children as a percent of median household income. Data are acquired from the 2024&2023 Living Wage Calculator and Small Area Income and Poverty Estimates and are used in the 2025 County Health Rankings.

Source

Source Description

The Living Wage Calculator (LWC) estimates the cost of living in your community or region based on typical expenses. The tool helps individuals, communities, and employers determine a local wage rate that allows residents to meet minimum standards of living. The US Census Bureau, with support from other federal agencies, created the Small Area Income and Poverty Estimates (SAIPE) program to provide more current estimates of selected income and poverty statistics than those from the most recent decennial census. The main objective of this program is to provide updated estimates of income and poverty statistics for the administration of federal programs and the allocation of federal funds to local jurisdictions. These estimates combine data from administrative records, intercensal population estimates, and the decennial census, along with direct estimates from the American Community Survey, to provide consistent and reliable single-year estimates.

Childcare Cost Burden is calculated by dividing the numerator, childcare cost from the Living Wage Calculator, by the denominator, median household income from the Small Area Income and Poverty Estimates. County Health Rankings

Methodology

Childcare cost burden data was acquired from the University of Wisconsin’s County Health Rankings (CHR). This measure represents the childcare costs for a household with two children as a percent of median household income. CHR uses 2024&2023 data from the Living Wage Calculator and Small Area Income and Poverty Estimates (SAIPE).

Childcare cost is back-calculated from the 2023 SAIPE Median Household Income where CHR denominator data are not available and the percentage CHR provided using the following formula as:

[Childcare Cost for A Household with Two Children] = [Childcare Cost Burden] * [Median Household Income] / 100

For more information, please review the information on CHR Childcare Cost Burden homepage.

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