Family Abundance | Why Childcare is So Expensive in Silicon Valley
Childcare costs in America have reached alarming levels, with families spending an average of $13,000 per year for one child. The high costs are attributed to a combination of restrictive regulations, low profit margins for providers, and significant labor expenses. To address this issue, a reevaluation of the childcare system and its structural challenges is necessary.
- ▪The average cost of childcare for one child is $13,000 per year, and for two children, it approaches $28,000.
- ▪In 45 states, childcare for two children costs more than a mortgage, and in 49 states, it exceeds annual rent.
- ▪Most daycare centers operate on profit margins below one percent, while staffing costs consume fifty to seventy percent of their operating budget.
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MarketsFamily AbundanceWhy America Made Childcare Artificially ScarceMatthew SteinerMay 22, 2026ShareThe abundance movement rediscovered something America had long forgotten: that scarcity is often a choice.Bad zoning. Captured regulators. Tangled permitting.Remove the obstacles, and housing gets built. Transmission lines proliferate. And infrastructure comes on line.The diagnosis was clarifying. The politics followed.But the movement has a glaring blind spot. There is a strange omission sitting quietly at the heart of the abundance agenda. An empty chair at the table.A silence where children should be.Housing determines whether a family can put a roof over a child’s head.
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