Jessica Heavner describes it as the hardest decision she’s ever had to make.
Heavner, of Federal Way, was working in accounting at the local school district, and when it came time for her annual cost of living raise two years ago, she realized the pay bump would put her over the state’s income limit for subsidized child care.
She would be making too much to get help from the state for care for her three children but too little to pay for care on her own, given the high costs.
Heavner, a single parent, opted to find a lower-paying job with fewer hours in order to keep the subsidy – even though her previous job had better pay and benefits.
“I feel like I’m trapped in poverty,” Heavner said.
She’s not alone in her predicament. A new study from Child Care Aware of Washington found that a lack of child care in the state costs families and employers billions of dollars annually. Employee turnover and absenteeism and lost family income associated with child care cost about $6.9 billion last year, or around $870 per resident.
The report analyzes survey data from Zogby Analytics, which sampled 606 parents in Washington, and applies the findings to the state’s 1.5 million parents with children 12 years or younger.
Nearly 40% of parents surveyed reported quitting work or getting fired since their children were born. About 62% reported missing at least one day of work in the last three months, and one in 10 had been out of work for at least a year since their children were born.
The cost of care, disruptions in availability and a lack of care options are all problems.
Parents who cannot secure care may not be able to find employment or take part in job skills training. Those who are employed can face reduced hours or missed promotion opportunities.
This lost productivity translated to a $1.5 billion dent last year in federal, state and local tax collections, according to the report. It also reduces Washington’s economic output by an estimated $6 billion each year, the report said.
Last year, the report said, employers lost $1.5 billion due to employee turnover because of child care and another $2.6 billion because of employees missing work due to child care issues. Meanwhile, families lost $2.9 billion in income because of child-care-related time off.
“This really puts into stark numbers that this is not just a problem for a handful of families, and not just a problem that child care providers need to face and deal with,” said Genevieve Stokes, director of government relations at Child Care Aware of Washington. “This is something that’s hurting the overall economy.”
The problem is not going to go away unless there is more state spending on child care, Stokes said. Recent investments in this area through the capital gains tax and the Fair Start for Kids Act have been helpful, but she added Washington needs to do more to make sure the families and providers are not just “treading water.”
As part of the Fair Start for Kids Act that passed three years ago, the Legislature is supposed to increase eligibility for the state’s child care subsidy program for those who make 70% of the state’s median household income starting next year. Subsidies are currently available for those who make 60% of the state median income. The monthly median income for a household of two is $6,892. For a household of three, it’s $8,514, and for a household of four, it’s $10,136.
Stokes said she hopes the state honors that commitment next year as doing so could help many families who can’t quite afford to pay for care on their own.
Advocates, providers and families are also pushing for a statewide cap on what all families in Washington would pay for child care, likely set at 7% of their income. That change, however, would be expensive for the state, and as lawmakers are looking at a tightening budget this upcoming legislative session, it likely won’t become a reality anytime soon.
After struggling to find a child care that she felt comfortable with, Heavner said she finally found someone who she trusts to care for her kids and who understands her financial situation. In order to continue affording this care, Heavner said she will likely have to stay in her current job and work minimal hours until her kids are older.
But she said she’s still scared of accidentally making too much money one year and losing her subsidy. She said a statewide cap on child care costs would be a blessing.
“It would make me not worry about making so much money,” Heavner said. “It’d make me not worry about improving my life while having young children.”
The Washington State Standard is a nonprofit, nonpartisan news outlet that provides original reporting, analysis and commentary on Washington state government and politics.
