Parents are spending thousands on children's birthday parties, turning them into big business

Throwing a birthday party for children has become a significant milestone for many families, yet it can also come with a hefty price tag. What starts as a simple first birthday with a small cake and a few balloons can evolve into elaborate events with rising costs as children grow older.

According to a 2024 survey by the pregnancy and parenting site What to Expect, 404 women reported spending an average of $314 on a childs birthday. However, in high-cost cities like New York, its easy for a party at a local play space or trampoline center to exceed $1,000.

Earlier this year, Charlotte Cowles from The Cut spoke with a New York-based party planner whose childrens party budgets start at $5,000. Our signature is the sleepover party with teepees, the planner shared, adding that they offer extras such as spa treatments, custom pajamas, scrapbooking, tie-dye, and movie nights with a large screen.

Not every parent goes for extravagant options. Many keep it simple and affordable. One parent shared how they schedule their sons summer birthday during the neighborhood block party, spending only a few hundred dollars on snacks, drinks, and bulk toy swords instead of gift bags. Children enjoy outdoor play, while adults socializesometimes even staying through rain showers, which is a sign of a memorable gathering.

In todays digital age, where social interaction can be limited, a childs birthday party provides an important opportunity for friends and family to connect. While costs can add up, the shared experiences and memories are invaluable.

Parents Share Their Experiences

Ice Skating Party

A family with one son chose an indoor skating rink for a birthday celebration. They invited 10 children for a two-hour session and purchased gourmet cookies for after the activity. The total cost came to $158.70.

• 10 kids passes: $110

The budget was set based on the number of attendees and avoiding repeated activities from previous birthdays. The child participated in choosing the activity, ensuring excitement and engagement.

Indoor Play Space Party

Another parent, hosting their daughters fifth birthday at an indoor play venue for over 25 preschool friends, spent $2,100. This included goody bags with custom treats ($250) and additional party supplies ($70). The venue and number of children largely determined the budget.

Stream Adventure Party

A family with two children held a simple outdoor stream party at a local park. Children played in the stream for two hours, followed by pizza and cake. The total cost was approximately $200, providing an enjoyable experience without elaborate expenses.

Pajama Drop-Off Party

In New York City, a family organized a 90-minute drop-off pajama party for 20 children at a local play space. The cost breakdown included a base package ($784), extra children fee ($270), additional time and hosts ($200), themed crafts ($100), and tips ($200), totaling $1,644. The family budgets $2,000 annually for birthday-related expenses, including gifts, and values early planning for potential discounts.

Budgeting and Parental Perspectives

Parents report a range of approaches: some carefully manage expenses using planning tools, while others consider the social expectations within their networks. Many emphasize the importance of creating meaningful experiences over lavish spending, ensuring the childrens enjoyment and memories remain the focus.

Overall, childrens birthday parties in the U.S. range from simple, cost-conscious gatherings to extravagant celebrations costing thousands of dollars, reflecting both family priorities and local economic factors. Despite the cost variations, the common thread is creating joy, connection, and lasting memories for the children and their friends.

Author: Ava Mitchell