Investing In Affordable Childcare Is Investing In Our Local Economy: Travis County Can’t Afford to Wait

If we care about our local economy, we need to care about affordable childcare. Inaccessible, unaffordable childcare already costs the Texas economy $9.39 billion each year. Those losses hurt all of us and local employers of all sizes. 

The Central Texas chapter of the Asset Funders Network (CTX AFN) represents corporate, community and private foundations, and financial institutions that have been investing in affordability and economic opportunity in Central Texas for decades. We support investing in affordable, high-quality childcare access in Travis County, as envisioned in the Travis County CARES initiative championed by the Travis County Commissioners Court.  

Frankly, the cost of childcare for the average family in Travis County has reached astronomical levels at roughly more than $13,000 a year. That’s higher than a year’s in-state tuition at The University of Texas at Austin. Right now, in Travis County, one in three families are unable to afford childcare. 

Limited access to childcare is also affecting our workforce. More than 15 million U.S. workers have quit their jobs since April 2021, and 45% percent of those surveyed said needing to take care of family was a key factor in their decision. Additionally, 83% of women and 81% of men report child care benefits would be an important factor in deciding to stay at their current employer. 

Affordable, quality childcare access can improve the recruitment, retention, productivity, and happiness of employees. It provides a path to financial security and economic mobility for working families, and on top of that, is associated with lower incarceration rates, reduced healthcare costs, and improved workforce participation. Overall, it’s a win for our whole community.

The current capacity of local childcare is falling short. 5,000 kids, from newborn to 13 years old, are on the waitlist for state-subsidized care, with an estimated wait time of two years. Additionally, healthcare workers, restaurant staff, and other occupations with nontraditional schedules struggle to find and pay for care that works for their hours. These essential services get disrupted, parents can’t earn the income they need, and the ripple effect impacts everyone.

It’s not just about having more time to work for parents — it’s also about creating more opportunities for personal development and economic mobility in our community. When parents have time and money to attend training or education classes, they can enhance their skills and qualifications. An additional certificate, degree, or credential can significantly impact their chances of securing a raise or a higher-paying job. For low-income families, this means a pathway to greater financial security and a boost to the local economy.

With every $1 invested in quality affordable childcare, our Travis County economy saves $13. As asset-building grantmakers with the CTX AFN chapter, we recognize the Travis County CARES initiative as an impactful and crucial step towards greater economic mobility in our region. It’s good for families, the community, and our Central Texas economy.