At my undergrad, people bring their babies with them. A grad student I work with took 3 or 4 weeks off when she had her baby, then starting bringing her daughter to school with her and adjusting her schedule as she needed. This worked easier because she had completed all but two of her classes, but the professors of those courses were very accomodating. Keep in mind she was also TAing this whole time, while living on a sub-$15k stipend (in addition to her husband's income, though).
Obviously I don't know your circumstances, and bringing in younger infants/toddlers is easier, but you should be able to work something out. I know a couple universities I'm looking at have daycare for their students, which I can't imagine costs anything near $1100 a month. But the best thing to do is email the director of graduate studies of your program, explain your situation, and I'm sure they'll help you.
Good luck, and just know that plenty of people have kids in grad school and make it work.