Children are delight, they are our future. But sadly, hiring someone to take care of them when you're going to work is getting more expensive by the year. Earlier this month it was reported, that the cost of involving an infant or small kid at a childcare centre rose 3 percent in 2012, faster than the general cost of living. There are now large strips of the country where daycare   for an infant costs more than 10% of the average married couples' income. This is not necessarily a new trend, but it is somewhat puzzling me. The price of professional childcare has been rising since the 1980s. Yet during that time, pay for professional childcare workers has stood still. Actually caregivers   earn less today than they did in 1990. Considering that labor costs are responsible for about 80% of a daycare center's expenses, one would infer that stable wages means stable prices. So who is to blame for higher child care costs? Childcare is a carefully regulated industry. States lay down rules about how many children each employee is allowed to watch over, the space care centers need per child, and other details. And the stricter the regulations are, the higher the costs will be. In Massachusetts, where childcare centers must hire one teacher for every three infants, the price of care averaged more than $ 16,000 per year. In Mississippi, where centers must hire one teacher for every five infants, the price of care averaged less than $5,000. Unfortunately I don't have all the daycare center regulations, but I wouldn't be surprised if as the rules have become more complicated, prices have risen. The tradeoff   might be worth it in certain cases; after all, the health and safety of children should probably come before cheap service. But certainly, it doesn't seem to be an accident that some of the cheapest daycare available is in the least regulated South. What prevents child care centers from saving money?
Steady increase in labor costs. Strict government regulations. Lack of support from the state. High administrative expenses.