How much will I spend on childcare?

The cost of childcare is an important consideration as you plan a financial future that includes your new baby. How much of your budget will go to childcare depends on a number of factors, including the following:

• Where you live

• What type of childcare you choose

• Your baby's age

• How many hours a week your baby spends in childcare

Where you live is what really determines the bottom line. Nanny care will cost significantly less in, say, St. Louis than in San Francisco simply because the cost of living is lower there and so are wages. And daycare — whether in a center or in someone's home — could cost hundreds more per month in a relatively expensive city than in a cheaper area. Your best bet is to check with friends and caregivers near you to determine the going rate for the type of childcare you prefer.

There are costs associated with being your child's full-time caregiver, too — typically the loss of your previous income. Read our complete article on affording staying home.

If you're deciding among childcare options read on to find out about the relative cost of each, and check out our chart listing the pros and cons of each of these options.