Should You Have Kids? Tips for Young Couples in Singapore

This post was originally posted on Planner Bee.

Maybe you’ve thought about it over kopi at your usual hawker stall or while scrolling through HDB listings late at night: “Should we have kids?” For many young couples in Singapore, this question is no longer just hypothetical. It has become something to seriously consider, especially when money comes into the equation.

Raising a child today is about more than just love and nappies. It involves thinking about whether your income can cover childcare costs, whether your career can handle a break, and whether your long-term plans, like buying a bigger home or retiring early, can still fit in.

More couples are choosing to pause, not because they don’t want kids, but because they want to fully understand what the choice means. They are asking questions like:

• Can we afford childcare without one of us quitting our job?
• What are the trade-offs between having children now and pursuing further studies?
• Would staying child-free give us more freedom to travel or retire earlier?
• How would having a child affect our daily expenses and savings goals?
• Are we emotionally and mentally ready to take on the responsibilities of parenthood?

This article won’t try to persuade you either way. There’s no moral argument or emotional pressure. Instead, we’ll take a closer look at the financial side of having children, or not, in Singapore.

1. The cost of raising a child

Let’s look at the numbers. Raising a child in Singapore isn’t cheap, and it goes far beyond just milk powder and diapers. Estimates suggest it can cost anywhere from S$280,000 to over S$1 million to raise one child from birth to age 22. These figures are rough and depend on your choices and lifestyle.

Where does the money go?

Childbirth & early years (zero to three years)

• Prenatal care and delivery (private hospital): S$8,000 to S$15,000
• Infant care (full-day, after subsidies): S$800 to S$1,500 / month
• Diapers, formula, medical check-ups: S$200 to S$500 / month
• Total (first three years): Around S$40,000 to S$70,000

Education (preschool to tertiary)

• Preschool (private): S$1,200 to S$2,000 / month
• Primary and secondary (MOE schools): Basic fees are low, but tuition and enrichment can reach S$1,000 / month
• Junior college or Polytechnic: S$5,000 to S$10,000
• University (local): S$30,000 to S$60,000 (higher for overseas)
• Total (preschool to uni): S$150,000 to S$500,000

Other costs

• Enrichment classes, sports, hobbies: Up to S$1,500 / month
• Healthcare and insurance: Around S$1,000 / year
• Extras like holidays, birthday parties, gadgets: Varies widely
• Estimated extras: S$50,000 to S$150,000 or more

Essential vs. Lifestyle choices

• Essential: Basic childcare, school fees, healthcare, daily needs
• Optional: International schools (around S$25,000 / year), multiple enrichment classes, overseas studies, branded gear

Scenario: Jason and Liyana send their daughter to a local preschool, keep enrichment activities simple, and make full use of government subsidies. They expect to spend around S$300,000 over 22 years.

Their friends, Cheryl and Alex, take a different route. They enrol their son in international schools and send him to overseas camps. Their projected spending is close to S$1 million.

2. Career and opportunity costs

Having children affects not just your spending, but also your income now and in the future.

What happens to dual-income households?

In Singapore, many couples depend on two incomes to manage home loans, travel, savings, and lifestyle upgrades. Having a child can change that balance.

Often, one partner, usually the mother, may choose to:

• Reduce working hours to part-time
• Take extended maternity or childcare leave beyond what’s covered by the government
• Pause career progression for a few years
• Switch to a lower-pressure job with more flexibility
• Turn down promotions or projects that require travel or long hours

Scenario: Yvonne, a marketing executive, was earning S$5,000 a month. After having her son, she switched to freelance work to stay home with him. Her income dropped to S$2,000, and she lost out on CPF contributions and bonuses. She doesn’t regret the decision, but her family had to cut back and delay their BTO renovation plans.

Even when both parents return to full-time work, the “mental load” of parenting, such as keeping up with school forms, doctor visits, and daily planning, often falls more on one person. This can quietly affect productivity and job satisfaction over time.

Career flexibility takes a hit

Thinking of taking a break to study, relocate, or switch careers? With a child, these decisions become more complex.

For example:

• A part-time master’s degree might now require hiring full-time childcare
• A job posting abroad could mean sorting out new schools, childcare, and higher living costs
• Starting a business may need to wait if the household can’t afford the risk
• Taking on a demanding role or leadership position may no longer feel sustainable
• Switching industries might be delayed due to the uncertainty of a lower starting salary

Scenario: Farhan planned to leave his banking job and start a fintech venture. But with twin toddlers and only one steady income, he postponed his plans for three years to build a stronger financial cushion.

These goals don’t become impossible, but they often need a longer timeline and more careful planning.

3. Long-term financial goals

Big dreams like buying a home, retiring early, or travelling the world don’t vanish when kids come along, but they may take longer or need a different approach.

Home ownership and upgrades

Upgrading your home is a big goal for many couples. With children, your priorities may shift:

• You might need a larger flat for more space
• Living near good schools becomes more important
• Renovation and furnishing costs go up
• You may need to factor in childproofing or safer home layouts
• Commuting time might become a bigger concern if childcare or school is far from work

Retirement plans on hold

When children enter the picture, retirement savings often drop down the list.

Over time, this can mean:

• Delaying financial independence by five to 10 years
• Needing to save more aggressively in your 40s or 50s
• Choosing safer investments that may grow more slowly
• Having less flexibility to pursue early retirement or semi-retirement options
• Relying more on property or children for financial support in later years

Other life goals get pushed back

Want to take a gap year, study overseas, or volunteer abroad?

These dreams are still possible, but they’ll likely need more time, planning, and money. Many couples choose to wait until their children are older or more independent before pursuing them.

Read more: Want a DINK Life? What You Should Consider About Being Dual Income, No Kids After Marriage

4. Choosing to be child-free

More young couples in Singapore are deciding not to have children. For some, it’s about focusing on their careers, enjoying personal freedom, or imagining a different kind of future. Financially, it can mean having more room to breathe, with no school fees, childcare bills, or extra enrichment classes to budget for.

With fewer fixed costs, some couples reach financial independence sooner. They may choose to invest more, travel regularly, or take sabbaticals. Remote work or flexible living arrangements also become easier.

Still, going child-free doesn’t mean skipping long-term planning. It’s important to get proper health insurance, think about long-term care, and save for retirement. You may also want to sort out estate planning, such as who will manage your affairs or inherit your assets if something happens. While social norms are shifting, some conversations with older family members may still take a little care and patience.

5. Preparing financially if you decide to have children

If you plan to have children, early planning helps. A baby can add S$1,000 to S$2,000 to your monthly spending, depending on your choices. This includes infant care, insurance, medical bills, formula, nappies, and clothes. It helps to budget ahead. Setting up a separate tracker or sinking fund for kid-related expenses can prepare you for larger costs like preschool or tuition later on.

Insurance becomes more important when you’re planning to have a child. It’s a good idea to review your hospitalisation plans, get life insurance, and consider an education policy to help with future school fees. You should also work on building an emergency fund that can cover at least six months of your expenses, including childcare.

Don’t forget to take advantage of government schemes like the Baby Bonus and CDA. If you register early and plan how to use the funds, they can really help with your baby’s early expenses.

6. Making the decision together

Whether or not to have children is a decision you and your partner should make together. It involves both emotional and financial thinking. Maybe you’re ready, but unsure about the cost. Or maybe your partner wants to focus on their career first. These are common concerns, and open conversation is key.

Start by sharing your goals and worries. Talk about the lifestyle you want, how you might manage work and parenting, and the support you expect from family. Ask each other questions like:

• Are we okay with delaying travel or career plans?
• Do our jobs offer the flexibility we might need?
• What if one of us steps away from work for a while?
• What if childcare doesn’t work out as expected?

You don’t need to plan every detail, but it’s important to be on the same page. The best decision is one that feels right for both of you.

Read more: Practical Ways for Couples To Set Financial Goals Together