Want to Save Money in Your Golden Years? Have Some Kids, This Study Says

Laughing senior woman is walking down the street with her daughter and granddaughter
Eva-Katalin/Getty Imahes

We’re always hearing about how kids are so darn expensive.

From hospital delivery fees to college tuition and everything in between, the costs can really add up.

But here’s one area where having kids may help you save: nursing home costs.

A new study shows having children significantly lowers the out-of-pocket costs for nursing home care, Bloomberg reports.

The Long-Term Financial Impact of Having Kids

When it comes to saving to cover future costs of nursing home care, the study estimates a 57-year-old without children should have about $8,900 set aside.

On the other hand, if that parent has up to three children, they should have about $6,400 saved, while a parent with four or more kids would only need to have about $5,500 saved, according to the research.

“Having children doesn’t affect the odds of having a nursing home stay,” Bloomberg reports, “but kids tend to delay the entry of a parent into a nursing home or help a parent transition out of one faster.”

The study indicates childless older Americans will spend an average of 279 days in a nursing home over their lifetime, while parents of one to three children will spend an average of 233 days. Parents with four or more offspring will spend only 206 days in nursing home care on average.

Who’s Got Your Back?

The study also showed having daughters over sons makes a difference. The research indicates a 57-year-old with daughters should have $6,100 saved for future out-of-pocket nursing home costs, while a 57-year-old without daughters should set aside $6,700.

In addition, the study showed men spend less money on nursing home care on average — and also less time in nursing facilities — than women do. That’s because they have their wives to take care of them.

Talk about girl power.

Nicole Dow is a staff writer at The Penny Hoarder. She wants to have about four kids.

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