when two people in a household are earning income and they have no children who depend on them to support them they can put more money toward financial goals like savings they will also have more disposable income that will give them the ability to spend more on non necessary expenses 1
costs associated with raising one or more children include food clothing and long term education and more the average middle income family will pay 310 605 to raise a child born in 2015 to age 17 according to a brookings institution study according to the u s department of agriculture estimates that will be 233 610 however this estimate does not account for inflation of course the exact cost to raise a child will vary significantly from family to family 23 dual income no kids households aren t necessarily rich or even upper middle class as the salaries can still limit how much they can spend and how often they can spend it however without children the partners can save or spend money that their counterparts are spending on raising children as a result dinks are often targets of marketing efforts for investment products and luxury items such as expensive cars and vacations a household without children would require less living space which can also cut costs in other words they would not need to look for housing that includes bedrooms or playrooms for children that could allow them to rent or purchase less expensive dwellings with smaller spaces furthermore they save money compared to singles by sharing goods and services for example dinks usually only need one kitchen and typically share hotel rooms during their vacations sharing financial resources gives dinks more disposable income than singles as well as couples that are married with children with extra money dinks can often invest more than their counterparts with children or who are single the money that might have been spent on children could be put into stocks bonds or other investment vehicles investing even a few thousand dollars per year can potentially increase earnings even more types of dinksthere are several situations that can be considered dual income no kids they include couples who choose not to have kids those who cannot have kids new couples empty nesters roommates and adult child and parent living arrangements people may choose not to have children for a variety of reasons many simply don t want a lifestyle with children while others have medical reasons or financial reasons according to a study by the pew research center 4 when both partners have incomes but choose not to have children they are in a dual income no kids situation in which they have the financial benefits of two incomes without the cost of raising children couples who want children but cannot have children including gay couples face difficult choices they may not be able to afford or want to pursue alternatives such as adoption or in vitro fertilization ivf afterall the cost of adoption can run up to 50 000 or more 5 and the average cost of in vitro fertilization is about 12 400 according to the american society for reproductive medicine 6whenever you combine incomes in a households it frees up funds for other purchases new couples living together may have children one day but until then they can enjoy a dual income no kids situation at this stage in their lives they may be saving for major purchase milestones like buying a home or buying a car they may be saving for a wedding or carrying debt from paying for one they also may be saving money to prepare for the cost of raising children after the children have grown up and moved out couples may become part of the dual income no kids demographic again they may find they have extra money in their budget that they once spent on kids they might also gain funds by selling their house and downsizing empty nesters often change their financial focus from supporting their children to saving more for retirement if they already have substantial savings it could be time to start taking more vacations before the couple gets too old to enjoy them unlike new couples empty nesters are likely not concerned with saving to buy their first house or car if two adult household members are earning income and they have no children they would be considered a dual income no kids situation a household is generally considered a situation in which members share living quarters whether they are related or not according to the u s census bureau definition 7so roommates living together or an adult child living with a parent would likely be considered a household however residents living together in an apartment building would not be considered a household because they are living in separate quarters 