From rising education costs to the price of essentials and extracurriculars, raising kids can be expensive — especially if they want to be an elite athlete one day.
Arthur Liu, father of Olympian and 2025 world champion figure skater Alysa Liu, estimates he’s spent a total of $500,000 to $1 million on her training alone, he told CBS’ “60 Minutes” earlier this month.
“I spared no money, no time,” on the now 20-year-old skater’s training, Arthur Liu said.
Certainly not everyone is going to spend as much as Liu did — the average U.S. family spent $1,016 on their child’s primary sport in 2024, according to a report by The Aspen Institute — but paying for your child’s extracurriculars adds up, says Joe Piszczor, a certified financial planner and founder of Washington Family Wealth in Washington, Pennsylvania.
Given the cost of international travel, coaching, equipment and entry fees at an elite level, six to seven figures not a wildly outrageous amount to spend on a child’s activities, and footing that bill is OK, Piszczor says, as long as you are aware of your goals and financial situation first.
“I just stress that if they want to do it correctly, let’s make sure our house is in order first and we know what our actual discretionary budget is,” Piszczor says. “Just know your limits.”
It’s not wrong to spend money on your child’s activities, says Tom Balcom, a CFP and founder of 1650 Wealth Management in Lighthouse Point, Florida. In fact, “for those who spend money on dance, sports, band — they will say that every penny is worth it because of what their child learns along the way,” Balcom says.
Because Balcom is paying for lessons, practice and tournaments, he says his daughter — a high school sophomore who aspires to play Division I golf one day — is not only improving as a golfer, but learning about the importance of teamwork, discipline and time management.
Plus, the benefits will spill over into her future, even if she chooses not to play golf at the collegiate level, Balcom says. Dedication to an activity can be a positive differentiator in the college application process itself, especially in a competitive environment where many students have good grades and test scores, he says.
However, if you’re investing thousands of dollars in your child’s extracurricular activities, make sure you’re not banking on any monetary returns, such as an athletic scholarship in college or your child becoming a professional, says Piszczor.
According to the NCAA, the primary governing body for college sports in the U.S., just under 7% of students who participate in high school athletics will compete in an NCAA sport in college, and only about 2% of high school athletes are awarded athletics scholarships.
Furthermore, career-ending injuries can happen, or your child can decide to quit or focus on a different passion, Balcom says. Alysa Liu, for example, retired from figure skating at age 16 due to burnout, before ultimately returning to the sport competitively in 2024, he says.
“For families hoping elite extracurriculars lead to college money, the odds are long,” Piszczor says. “The most reliable return on investment for college funding is academics and overall financial preparedness, not assuming a passion will pay for itself.”
When spending money on your child’s activities, stick to discretionary money you can afford to lose, both Piszczor and Balcom say.
Keep enough money to cover essential monthly expenditures like food and housing, as well as a cash reserve worth three to six months of expenses to cover emergencies, Piszczor says.
While tradeoffs can be made, like eating out less or skipping a yearly vacation to cut back on expenses, never tap into your own retirement savings or go into debt to finance your child’s dreams, Balcom says.
“People want to see their kids happy, and there’s nothing wrong with that,” Piszczor says. “Just having that balance is important.”
