Planning Financially For A New Baby

Planning Financially For A New Baby

Planning Financially For A New BabyWhen expecting a baby, there are a number of issues that have to be discussed and planned very well. Financially, having a baby brings significant changes to the life of the expecting parents. Expenses range from buying baby clothes and toys,  fees for delivering your baby, and even increase health insurance premiums unless you already have children on your current health insurance policy. There are so many things to consider, that making a list and organizing your finance is inevitable. It’s a good idea to look into getting the best personal finance software you can find. Personal finance software makes it easier to track all of your personal finances including things for your new baby.

Plus, now is a great time to discuss everything in detail with your partner in order to make sure that you have financially planned for the added expenses that having a baby adds to your monthly budget. You will have about 9 months to prepare financially for your new baby, get all of the necessities for your baby and give birth without being worried about money.  Of course, you should prepare financially for a c-section in the birth doesn’t go according to plan. Silvia Mark’s, from CallCleaners, wanted to share with you some added suggestions for parents to financially prepare the arrival of your baby.


Common Expenses

Parents who are expecting a baby have to plan their budget in a way that they have enough of funding for everything. The most common expenses that have to be taken into account are baby clothes, furniture, nappies, food and any other products of first necessity. To save up as much as possible, do a thorough research and find where you can find best prices for everything you will be needing for your baby. Don’t forget to factor in the cost of daycare or find a nanny for your newborn into your monthly budget. Some parents find that it makes perfect sense to stay at home with your child when they factor in all of the expenses required for daycare and going to work. If you are planning on going back to work after your maternity leave, you need to start looking for daycare options before your baby is born.

Maternity Leave

The good news is that most expecting parents usually have employers that give their employees paid maternity leave so that you don’t have to worry about stretching your budget further while you are enjoying your new baby. You will need discuss this with your employer and use the information to plan your finances. The income of a maternity leave might not cover all your costs, but it will definitely give you a hand. If you have the option to work from home after the baby is born, this will make a good change in the income.

Hospital Costs

Another important thing that has to be considered in advance is the hospital where the delivery will be performed. Expecting parents have to be careful when selecting a hospital and they need to find out if their health insurance will cover the delivery costs. If not, hospital expenses have to be planned in your budget, since delivery is one of the biggest expenses in the whole process. Do a research and learn what your options are, so that you can save up a lot of money. Also, don’t be afraid to shop around because some hospitals are more expensive than others. If you have medical insurance, you can expect to pay your co-pay, deductible, and the co-insurance required to meet all of your out of pocket costs. Your baby is normally covered under the mother for the first three days of life and isn’t subject to a deductible in some cases (check with your insurance company). Don’t forget to plan for circumcision if you are expecting a boy.

 Throw A Baby Shower

Consider the idea of throwing a baby shower. It doesn’t have to be a fancy celebration, you can invite only close friends if you want. You can simply cook a meal yourself, buy finger foods or snacks, a cake, and buy a bottle of wine for your guests. This lovely event on a budget will bring you many baby presents that will definitely save you money on things you have to buy for the baby. Your friends might prefer you to tell them what things you need or you can register at several stores, so that they can buy a present that you wanted or will be useful for you and your baby.

 Life Insurance

Another thing that your should consider when expecting a baby is getting life insurance. The more people there are who depend on your income, the better it is for you to own life insurance. Check to see if your employer offers discounted life insurance, if not you should get quotes online or from a private insurance company to find the right amount of coverage for you and your family. Your life insurance should be enough to cover your funeral expenses and to take care of your child for the next 18 years.

What additional expenses did you plan for when you had a baby?

Disclosure: This post may contain affiliate links. Content and photo was given to Uplifting Families by Silvia Marks.