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Trump Administration Considers $5,000 ‘Baby Bonus’ to Reverse Declining Birthrates Amid Soaring Childcare Costs

The Trump administration is actively weighing a series of proposals aimed at encouraging American women to have more children.

Among the most discussed ideas is a $5,000 “baby bonus” – a direct cash incentive that would be awarded to every American mother following childbirth. The bonus, if implemented, could supplement existing benefits such as the child tax credit, though details regarding eligibility, funding, and implementation remain under discussion.

When questioned about the proposal President Donald Trump expressed support, stating, “Sounds like a good idea to me”. 

Giving birth in the United States is among the most expensive in the world. The average cost to have a baby-including pregnancy, delivery, and postpartum care-is about $18,865, though this figure can vary significantly by location, type of delivery, and insurance status.

After the child is born, the average annual cost for infant care nationwide is $14,063. The national average daycare cost: $1,039 per month or $12,472 per year. This is a 40% increase over the past decade, outpacing inflation.

U.S. families spend between 8.9% and 16% of their median income on full-day care for one child, and in some states, this climbs above 20%.

The overall cost of raising a child from birth to age 17 has risen sharply in recent years. The total cost of raising a child from infancy to 17 years old ranges from about $297,674 to $318,949 for a child born in 2025, reflecting a 25-35% increase over the past decade.

Other proposals include:

  • Allocating 30% of prestigious Fulbright scholarships specifically for applicants who are married or have children, in an effort to reward and incentivize family formation.
  • Government funding for educational programs to help women better understand their menstrual cycles and fertility, with the aim of increasing conception rates.
  • The creation of a “National Medal of Motherhood” for women who have six or more children, echoing historical pro-natalist awards in other countries.

Adolf Hitler’s regime implemented a wide range of policies specifically designed to increase birth rates among those they considered “racially pure” Germans. These measures were part of a broader Nazi ideology that placed high value on expanding the so-called Aryan population, both for demographic strength and to further their plans for territorial expansion.

Key policies included:

  • Law for the Encouragement of Marriage (1933): Newlywed couples received a loan of 1,000 marks, and for each child born, a quarter of the loan was forgiven. This effectively rewarded families for having more children.
  • Mother’s Cross: Women who had large numbers of children were publicly honored. The Mother’s Cross was awarded in bronze (5 children), silver (6-7 children), and gold (8 or more children).
  • Family Allowances and Income Supplements: The state provided additional financial support to families with multiple children.
  • Lebensborn Program: Established in 1935, this SS-run initiative provided support and maternity homes for unmarried “Aryan” mothers, encouraged SS men to father many children, and facilitated adoptions for children considered racially valuable. The program also offered anonymity and financial assistance to single mothers to discourage abortions.
  • Discouragement of Women’s Employment: Policies and propaganda encouraged women to leave the workforce and focus on motherhood, with financial incentives for staying at home.
  • Stricter Abortion Laws: The Nazis increased punishments for abortion among “racially valuable” women, while simultaneously enforcing forced sterilization and abortion for those deemed “genetically unfit” or of “undesirable” backgrounds.

While these measures were intended to boost the birthrate among “Aryan” Germans, they were deeply intertwined with Nazi racial ideology and eugenics, aiming to both promote births among the “fit” and suppress reproduction among those considered “inferior”.

According to the Centers for Disease Control and Prevention (CDC), the general fertility rate in the U.S. decreased by 3% from 2022 to 2023, reaching another record low. This marks the second consecutive year of decline, following a brief 1% increase from 2020 to 2021. In 2023, there were just over 3.59 million births, and the fertility rate for women ages 20–24 reached a record low.

Many cite financial strains, such as the high cost of childcare, housing, healthcare, and education, as reasons to delay or not have children. Economic instability, work insecurity, and student loan debt are frequently mentioned by young adults as barriers to starting or expanding families. Broader societal anxieties-including political polarization, climate change, and global instability-have also been cited by Americans as reasons to delay or avoid having children.

Proponents of the new policies argue that reversing the birthrate decline is essential for the country’s long-term economic and social stability. Vice President JD Vance and entrepreneur Elon Musk are among those who have voiced support for such initiatives, with Vance also advocating for an expanded child tax credit.

White House officials have emphasized that no final decisions have been made, and that the administration is still evaluating the proposals. 

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