IS IT TIME TO RETIRE OR HAVE A BABY?

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I ran into a couple I’ve known for years; our kids grew up together. This couple just had a baby. In their fifties. They look like grandparents, not new parents. Although they are excited to be parents, the husband confided that he sometimes wonders what he and his wife were thinking.

Clearly, having a child in your 50s comes with an abundance of costs and risks. A 2022 Brookings Institution analysis found that it takes $310,605 to raise a child to the age of 18. That’s if everything goes right. If your child is disabled or has chronic health problems, all bets are off.

Of course, the four years after your child turns 18 can be very expensive too; the cost to raise a child and put her through college will exceed a half million dollars in many cases. If the money needed to raise a child was instead invested for retirement, one could reasonably expect it to yield far more than a million dollars.

Children are wonderful, but they are very expensive. And having children when you lack the resources, health, or energy could be a recipe for disaster. Even if you’re filthy rich, you can’t buy health or energy. Plus, things you do with ease in your 40s, such as carrying a sleeping child, giving horsey rides, or playing sports, will likely be challenging or downright impossible in your 60’s or 70s.

Before you decide on a mid-life surprise, consider the costs and risks and make certain you can dedicate the next 20 years and a boatload of money to another child or two (warning – fertility treatments increase the likelihood of twins).

Would you sacrifice your retirement to have a child in your 50s?

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