The reason that the government figures are wrong is that, to quote Parenting, Inc. again, they don't include the cost of "maternity clothes, new home purchases and moving expenses, childbirth education and newborn classes, prenatal vitamins and extra fruits and vegetables, of Glider breastfeeding armchairs; of 'babymoon' vacations and bumblee-themed baby showers.
When the Wall Street Journal looked at the suspect government figures in an effort to make them somewhat realistic, it added costs such as sporting equipment and tutoring (which is no longer just for the wealthy-- the average income of a family seeking tutoring for a child is between $50,000 and $70,000) and came up with a total cost of raising a child to age seventeen that rangeed from $800,000 to 1.6 million."
To quote the WSJ directly, "We placed all these expenses on a spectrum, from those that parents and experts say are the most common, up to more unusual -- and costly -- frills. At the lowest end, our estimates came in at about $800,000 (in 2007 dollars) through the age of 17."
So the $800,000 figure is based on a survey of parents to figure out what they most commonly spend on various things.