Top 10 best states to raise a family ranked by WalletHub

Dan Seiffert SVP, Accounting | realtors.com

Raising a family in the United States can be financially demanding, with costs exceeding $300,000 per child by age 18, according to the U.S. Department of Agriculture. WalletHub analyst Chip Lupo highlights that "raising a family has become significantly more expensive in recent years as the cost of living has risen quickly." Consequently, choosing an affordable state for raising a family is crucial.

WalletHub's recent report evaluates states based on 50 indicators of family-friendliness, including median income, housing affordability, healthcare quality, crime rate, and school quality. Each factor was scored on a 100-point scale to rank the states.

Massachusetts tops the list despite its high costs. With a median list price of $985,000 for December 2024 and ranking fourth for cost of living according to Realtor.com, Massachusetts offers high incomes and job security. Lupo explains that “it’s not the cheapest state as housing and child care costs are relatively high compared to most of the nation, but residents make up for this with fairly high incomes.” Massachusetts also excels in education and health metrics.

Minnesota ranks second due to its high median family income and low poverty rate. The state offers reliable long-term benefits and ranks highly in healthcare access and safety.

North Dakota is third on the list because of its affordable rent and low unemployment rate. It also ranks second in education and childcare services.

Nebraska ranks third in education while New Hampshire scores well in health and safety metrics but experiences job stress issues. New York offers affordable options outside New York City despite its reputation for high prices.

Illinois shines in family fun opportunities but struggles with socioeconomics due to crime rates in major cities like Chicago. Wisconsin provides strong socioeconomic stability with good education rankings.

Maine excels in health metrics but lags behind in family entertainment offerings. Connecticut surprises with its affordability ranking despite being known for expensive real estate markets near New York City.

These rankings illustrate diverse factors affecting where families might choose to settle across different states.