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In A Nutshell
- Six in 10 American parents have taken on debt to provide for their children.
- Nearly half of those with debt (48%) say it has become “unmanageable.”
- Parents in debt add an average of $181 in new debt every month.
- Healthcare, education costs, and seasonal expenses like back-to-school shopping are top drivers of debt.
NEW YORK — It’s Sunday evening, and parents across America are lying awake with calculators in hand, trying to figure out how to stretch another dollar ahead of the work and school week. For many, the reason for these sleepless nights is not work stress or relationship troubles, but the mounting debt that’s reshaping modern parenthood.
A new Talker Research survey finds that six in 10 American parents have taken on debt to provide for their children, as soaring living costs push family budgets to the limit. Nearly half (48%) of these parents say their debt has become “unmanageable.”
The study of 2,000 parents, commissioned by National Debt Relief, paints a troubling picture of financial strain that goes far beyond simple budgeting challenges. Among parents carrying debt, 63% say their finances are holding them back from providing for their children the way they’d like, a rate higher than the 48% of parents without debt who feel the same.
77% of Parents Accumulate $181 in New Debt Monthly
Among all surveyed parents, 77% carry some form of debt, and the average indebted parent takes on an additional $181 each month. For parents with children aged 5–12, that number is even higher, at $194 per month.
Credit card debt is the most common, affecting 42% of parents and averaging $14,556. Medical bills impact 27% of parents with an average debt of $12,316, while 25% carry personal loans averaging $15,294. For those still paying off their own education, the average student loan balance is $22,896. Auto loans average $19,581, mortgages average $61,807, and “buy now, pay later” balances average $7,427.
Single parents are more likely to struggle with the cost of raising children. According to the survey, 60% say they’re having trouble providing due to rising living expenses, compared to 52% of partnered parents. More than half of single parents (53%) describe their debt as “unmanageable,” versus 45% of partnered parents.
Parents Put Children’s Needs Ahead of Debt Repayment
A large majority of parents in debt (81%) prioritize spending on their children’s needs over paying off debt, compared to just 17% who put debt repayment first.
“Our findings show how deeply debt is reshaping modern parenthood — forcing families to choose between their own financial health and well-being versus their children’s needs,” said Natalia Brown, chief consumer affairs and creditor relations officer at National Debt Relief. “As a mother, I know how heavy the emotional and financial toll of providing for a family can be. Debt is becoming unmanageable for today’s parents, and while so many are lovingly putting their kids first, it’s often at their own expense. When the burden becomes too much to carry alone, parents need to know that seeking financial help and debt support isn’t shameful, it’s the courageous choice for themselves and their family.”
Parents with debt are twice as likely to neglect their physical and mental health as those without debt, and 50% more likely to skip meals. On average, they feel stressed about their finances and debt five times a week. Many even say debt worries outweigh other major parenting concerns: 48% worry more about debt than whether they’re a good parent, 47% more than their child hitting milestones, and 44% more than their child’s health or relationship with them.
Healthcare and Education Costs Drive Worry
Medical expenses remain a major factor in family debt. In the past year, 42% of parents borrowed to cover out-of-pocket costs for their children’s prescriptions, 41% for doctors’ visits, and 39% for dental care. Mental health care is now the second-most costly form of medical care contributing to parental debt, averaging $1,377 annually.
Nearly four in 10 parents (39%) have gone into debt to cover back-to-school costs, while 47% have borrowed for holiday spending. Those already using “buy now, pay later” services are even more likely to do so. In all, 52% take on back-to-school debt and 62% for holiday expenses.
Looking ahead, the top financial fear among debt-carrying parents is not being able to afford their child’s higher education (50%). Parents with their own student loan debt are the least likely to save for their children’s tuition, and more than a quarter feel the cost of higher education outweighs its value. The second-greatest fear is being unable to afford a medical emergency, cited by 32% of indebted parents.
Nearly two-thirds (63%) of all parents feel they have limited control over the cost of raising children, a figure that rises to 67% among those in debt.
“These widespread fears of inescapable financial struggle show how easily parents can slip into cycles of debt that not only weigh on them, but can also shape their children’s future,” said Dasha Kennedy, financial activist, founder of The Broke Black Girl and member of National Debt Relief’s Financial Wellness Board. “But these cycles aren’t unbreakable — with the right support and financial guidance, parents can begin to regain stability and build a stronger foundation for their future and the next generation.”
Survey Details: Talker Research, on behalf of National Debt Relief, surveyed 2,000 U.S. parents of children aged 0–18 between July 16 and 24, 2025. The sample included equal numbers of parents with children in different age groups and at least 250 single mothers and 250 single fathers. Responses were checked for quality, and incomplete or fraudulent submissions were removed.
