American adults are losing confidence in their ability to build wealth — with the exception of one group — a new LendingTree survey [1] has found.
Optimism about becoming wealthy declined across every demographic — gender, generation, parental status and income level — surveyed since 2023 [2]. Overall, just 38% of respondents who don’t consider themselves wealthy believe they will ever be — a decrease from 41% two years ago.
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Parents of adult children reported the steepest decline (28% to 19%), while parents with kids under 18 weren’t far behind (54% to 49%). The only group bucking the trend? Adults without children. In 2025, 42% of child-free Americans said they believe they’ll eventually become wealthy, up slightly from 41% in 2023.
Of note, most survey respondents in both years defined being “wealthy” as living comfortably without financial concerns, as opposed to a lifestyle of excess.
The difference in direction taken by couples may be about more than just optimism. According to the Federal Reserve’s latest Survey of Consumer Finances, in 2022, couples without children had a median net worth of nearly $399,000, compared with $251,000 for couples raising kids. Although these numbers may include couples considered wealthy, they also highlight how much child-rearing costs can weigh on family finances.
Why parents feel the strain
For parents, the gap in net worth may not be surprising — they face financial challenges on multiple fronts.
The cost to raise a child is on the rise. A separate LendingTree study [3] estimated in 2025 the average cost of raising a child over 18 years to be $297,674, an increase of around 25.3% from $237,482 in 2023.
“Most Americans are on a budget and don’t have a ton of wiggle room,” said Matt Schulz, LendingTree’s chief consumer finance analyst.
Figures for early childhood are far more expensive. The annual cost of raising a small child, including day care, went up to $29,419, an increase of 35.7%, compared to $21,681 two years prior.
Speaking of day care, the study found costs in this category increased the most, up 51.8% to $17,836, and makes up the bulk of small child care costs.
Of course, costs to raise a child vary by state.
High costs lead some families to designate one partner as a stay-at-home parent. This reduces household income, since this parent leaves the workforce, but in exchange certain costs are cut, including day care. But this arrangement can have hidden consequences.
By leaving their job, these parents say good-bye to years of annual cost-of-living raises, promotions and missed growth in their fields. It could impact career trajectory and future opportunities. Stepping away might save money in the short-term while having a long-lasting effect on their career.
Read more: Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
Some are opting out of parenthood
For some younger adults, the math just doesn’t add up. As a result, the share of U.S. adults under 50 without kids who say they’re unlikely to ever have them rose 10 percentage points from 2018 to 2023, according to Pew Research Center [4]. And many claim not having kids has allowed them to afford more things and made it easier to find success in their careers while having an active social life.
Seventy-five percent of adults under 50 also told Pew Research Center that not having children made it easier to save for the future. Without day care bills, larger housing needs, or additional health care costs, child-free couples may be better positioned to pay down debt, build wealth and retire earlier.
Want kids? How to prepare for success
Having children is ultimately a personal decision, and no family’s situation looks the same. For those who want children, creating a plan can be crucial to maintaining financial security and building long-term wealth. Here are some steps that can be taken.
Build a dedicated child fund: Before expanding your family, start setting aside money each month to cover anticipated expenses like child care, medical bills or extra housing costs. It can also help to construct a budget with these extra costs in mind ahead of time to determine affordability.
Get creative with child care: Day care is expensive, but there are ways to minimize the cost. Consider a nanny share, part-time sitter, asking family members for help or working rotating schedules with your partner.
Maximize tax breaks: Take full advantage of child tax credits, dependent care flexible savings accounts and other tools that can reduce your tax burden.
Consider employer benefits: Some companies offer child care benefits, parental leave or flexible work arrangements that can help offset the costs of raising a child.
Keep long-term goals in sight: Even with higher expenses, continue contributing to retirement accounts if you can. Small, consistent contributions can grow significantly over time.
Preparation and long-term financial planning are key to balancing parenthood and financial freedom.
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[1]. LendingTree. “Fewer Americans Think They’ll Be Wealthy One Day”
[2]. LendingTree. “Most Gen Zers and Millennials Who Don’t Consider Themselves Wealthy Believe They Will Be Someday”
[3]. LendingTree. “It Costs an Additional $297,674 to Raise a Child Over 18 Years, Up 25.3%”
[4]. Pew Research Center. “The Experiences of U.S. Adults Who Don’t Have Children”
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