Do High-Wage or Expensive-Daycare States Look Different After BEA Price Parities?

Fixed edition analyzed September 16, 2026. BEA Regional SARPP state regional price parities for 2022-2024 (API note: last updated February 19, 2026 — new 2024; revised 2008-2023), U.S. = 100. Paired with BLS OEWS May 2025 occupational medians (reused) and DOL Women’s Bureau NDCP center infant daycare prices (mostly 2022; Indiana and New Mexico missing). Purchasing-power / correlation check only — not a best-state ranking and not causation.

“High wage” and “expensive daycare” headlines usually quote nominal dollars. BEA regional price parities ask a different question: how do those figures look once you adjust for local price levels?

They look different — especially for wages. Across 50 states and D.C., 2024 all-items RPP correlates strongly with May 2025 childcare median hourly wages (Pearson r = 0.84, Spearman ρ = 0.85) and with NDCP center infant weekly prices (r = 0.82, ρ = 0.85, n = 49). Dividing by RPP still reshuffles wage ranks: Hawaii falls about 15 places; New Mexico and Arkansas climb about 13. Daycare price ranks barely move (nominal vs RPP-adjusted price r ≈ 0.99).

This page is deliberately different from our daycare wage vs price by state study (nominal dollars only), wages by state, and personal income vs business formation (BEA income growth × Census applications — not price levels).

What we compared

  • Price levels: BEA table SARPP line 1 (all items), plus goods, rents, utilities, and other services. Primary year 2024 (U.S. = 100). RPP-adjusted value = nominal ÷ (RPP ÷ 100).
  • Wages: OEWS May 2025 childcare workers (SOC 39-9011) median hourly/annual, plus an unweighted study composite of seven service occupations (labeled as such — not an official BLS average).
  • Daycare prices: NDCP center-based infant weekly prices from the wage-vs-price study archive (mostly 2022).
  • Year mismatch: 2024 RPP × May 2025 wages × ~2022 prices — disclosed, not interpolated.

Price levels track wages and daycare prices

Scatter plot of 2024 BEA regional price parities versus May 2025 OEWS childcare median hourly wages by state
Each point is a state or D.C. Orange line: OLS fit (r = 0.84). Dashed line: U.S. RPP = 100. Correlation is not causation.
Scatter plot of 2024 BEA regional price parities versus NDCP center infant weekly daycare prices by state
Daycare prices (mostly 2022) also rise with 2024 all-items RPP (r = 0.82). Rents RPP vs daycare price r ≈ 0.81.

2024 all-items RPP ranges from about 86.9 (Arkansas) to 110.7 (California), median 97.0. Top five: California (110.7), Hawaii (110.0), District of Columbia (109.9), New Jersey (108.8), New York (107.9). Bottom five: Arkansas (86.9), Mississippi (87.0), Iowa (87.8), Oklahoma (87.8), Louisiana (88.2).

Where wage ranks flip after RPP

Bar chart comparing nominal and RPP-adjusted childcare median hourly wages for selected states
High-RPP states (CA, HI, NY) shrink toward the pack after adjustment; low-RPP states (AR, MS) move up in purchasing-power terms.
Horizontal bar chart of childcare wage rank changes after BEA RPP adjustment
Rank change = RPP-adjusted rank − nominal rank (1 = highest wage). Positive = looked higher nominally than after adjusting for local prices.
Fell after RPP (high cost eats the wage) RPP Rank Δ
Hawaii 110.0 +15
New Jersey 108.8 +13
Nevada 100.0 +12
Pennsylvania 97.6 +11
New York 107.9 +10
Utah 98.9 +10
Rose after RPP (low prices lift the wage) RPP Rank Δ
New Mexico 92.2 -14
Arkansas 86.9 -13
Iowa 87.8 -12
Montana 94.6 -11
Kansas 90.1 -8
Nebraska 90.1 -8

Example: Hawaii’s May 2025 childcare median (~$17.80/hr) ranks near the top tenth nominally, but with RPP ≈ 110 it falls roughly 15 places in RPP-adjusted terms. Arkansas (~$13.68/hr) climbs about 13 places once its RPP ≈ 87 is applied. D.C. stays #1 either way — its wage premium survives the price-level adjustment.

Daycare prices: expensive stays expensive

Nominal vs RPP-adjusted infant weekly prices still correlate at r ≈ 0.99. The largest price rank flips are only about six places (Florida and New York fall; North Dakota and Oklahoma rise). California drops out of the top-five RPP-adjusted infant prices; Alaska enters. Adjusting for overall price levels does not rewrite the expensive-daycare map the way it reshuffles wage ranks.

For the nominal wage-to-price ratio without RPP, see daycare wage vs price by state. For list prices alone, see childcare prices by state.

All 50 states and D.C.

Download the CSV: regional-price-parities-wages-daycare.csv. State names link to state hubs. Service mean is an unweighted study composite of seven OEWS occupations.

State RPP 2024 CC wage $/hr CC wage RPP-adj Wage rank Δ Svc mean $/hr Svc RPP-adj Infant $/wk Infant RPP-adj
California 110.7 19.24 17.38 +5 22.35 20.19 379.2 342.5
Hawaii 110.0 17.80 16.19 +15 21.85 19.88 365.8 332.7
District of Columbia 109.9 22.76 20.71 +0 24.86 22.62 490.0 445.9
New Jersey 108.8 17.49 16.07 +13 20.77 19.09 313.7 288.3
New York 107.9 18.07 16.74 +10 21.97 20.36 300.0 278.0
Washington 107.0 20.04 18.73 +1 24.61 23.00 357.3 333.9
Massachusetts 105.8 19.66 18.59 +3 22.96 21.71 461.6 436.4
Maryland 105.0 17.32 16.50 +4 20.04 19.10 327.4 311.9
New Hampshire 104.2 17.83 17.12 +5 21.07 20.23 300.1 288.1
Connecticut 103.6 17.63 17.02 +3 21.79 21.03 350.0 337.8
Florida 103.4 16.45 15.91 +5 18.06 17.46 225.0 217.6
Oregon 103.4 18.58 17.98 +2 22.27 21.54 329.4 318.7
Colorado 103.1 19.59 19.01 -2 21.10 20.47 377.4 366.2
Alaska 102.4 17.40 17.00 +1 21.40 20.90 361.9 353.6
Rhode Island 102.3 17.76 17.36 +0 20.03 19.58 289.6 283.1
Virginia 101.1 16.51 16.33 +1 19.09 18.88 246.7 244.0
Arizona 100.7 16.88 16.77 -4 19.28 19.15 270.0 268.2
Nevada 100.0 14.30 14.30 +12 19.68 19.68 275.6 275.7
Illinois 100.0 17.23 17.24 -4 20.80 20.81 278.3 278.4
Delaware 99.8 15.97 16.00 +3 18.86 18.89 280.3 280.8
Utah 98.9 15.21 15.38 +10 18.63 18.84 226.3 228.9
Minnesota 98.6 17.08 17.32 -7 21.52 21.82 390.0 395.5
Vermont 98.0 18.29 18.67 -2 21.91 22.37 313.1 319.6
Pennsylvania 97.6 14.49 14.85 +11 18.94 19.42 217.9 223.3
Texas 97.1 13.73 14.15 +6 17.25 17.77 185.0 190.6
Maine 97.0 17.47 18.00 -7 21.38 22.03 230.0 237.0
Georgia 96.3 13.47 13.99 +3 17.65 18.33 205.0 212.9
Michigan 96.2 14.89 15.48 +7 18.71 19.45 173.2 180.0
Idaho 95.5 14.50 15.18 +7 18.59 19.46 166.4 174.3
Montana 94.6 16.89 17.85 -11 19.93 21.06 220.8 233.3
North Carolina 94.3 14.01 14.85 +4 18.13 19.22 202.5 214.7
Wisconsin 94.1 15.61 16.59 -6 19.28 20.49 293.0 311.4
South Carolina 93.7 14.26 15.21 +2 17.44 18.60 198.9 212.2
Indiana 93.3 14.51 15.55 +1 18.17 19.47
Ohio 92.8 14.27 15.38 +2 18.57 20.01 295.0 318.0
Wyoming 92.7 13.58 14.65 +1 17.53 18.91 161.2 173.9
New Mexico 92.2 17.23 18.69 -14 18.06 19.59
Tennessee 91.9 14.26 15.52 -4 17.46 19.00 211.7 230.4
Missouri 90.8 14.80 16.30 -4 18.30 20.16 214.9 236.7
Kentucky 90.2 13.90 15.42 -5 17.30 19.19 151.3 167.8
Nebraska 90.1 14.78 16.40 -8 18.62 20.67 243.8 270.5
Kansas 90.1 14.06 15.61 -8 17.82 19.79 157.3 174.7
West Virginia 89.5 13.32 14.88 -6 15.93 17.80 167.5 187.1
North Dakota 89.0 14.56 16.37 -8 19.90 22.37 213.8 240.3
Alabama 88.8 10.92 12.29 +0 15.53 17.49 136.0 153.1
South Dakota 88.6 13.43 15.16 -5 18.97 21.41 150.0 169.3
Louisiana 88.2 11.01 12.48 +0 15.59 17.68 153.3 173.8
Oklahoma 87.8 13.33 15.17 -7 16.63 18.93 215.5 245.3
Iowa 87.8 13.66 15.56 -12 18.36 20.93 166.0 189.1
Mississippi 87.0 10.60 12.19 +0 14.64 16.84 118.7 136.5
Arkansas 86.9 13.68 15.74 -13 15.73 18.10 147.5 169.7

What this can and cannot tell you

  • Correlation is not cause. High RPP, high wages, and high daycare prices often travel with housing costs and labor markets.
  • RPP is a price level, not inflation. U.S. = 100. Dividing by RPP is a purchasing-power lens, not after-tax take-home pay.
  • Years do not line up perfectly. 2024 RPP, May 2025 wages, mostly-2022 daycare prices — labeled in every table and the CSV.
  • Childcare wages ≠ owner income. And NDCP parent prices ≠ provider profit.
  • Sibling affordability lenses: service wages vs fair market rent; BEA income growth in personal income vs business formation.

Industry context: daycare industry statistics and childcare availability by state.

Methods (short)

BEA API Regional / SARPP lines 1–5 for 2022–2024; primary all-items 2024. RPP-adjusted = nominal ÷ (RPP÷100). OEWS May 2025 medians reused from prior SBL wage work; NDCP center infant weekly prices reused from the daycare wage-vs-price study (IN/NM missing). Rank Δ = RPP-adjusted rank − nominal rank (1 = highest). Full documentation in the study work folder.

Sources

Data Source Vintage
State regional price parities BEA Regional SARPP (API) 2022–2024; API note Feb 19, 2026
Occupational median wages BLS OEWS May 2025 (reused archive)
Center infant daycare prices DOL Women’s Bureau NDCP Mostly 2022; IN/NM missing (reused)