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Saving for your baby - Parent Tips
Saving for your baby > Home page > Pregnancy Planet > Parenting Planet
Saving for your baby? Some parents will tell you that baby's are very expensive little things and others will just say that all they need is mother's milk, sleep and love. Whether you are on one income or two, planning and knowing your resources is the best tip anyone could give to would-be parents.
Whether you are trying to get pregnant, in the middle of your pregnancy or you already have one or two children, sitting down for a few hours and taking a realistic look at your current finances will be a very beneficial start in saving for your baby.
Below are some parent tips on how to save before your new baby arrives
“ The river swells from the little streams ”
Bateke proverb
* Make a list of your expenses and incomings, make sure you think of everything. Gather together all of your bank statements and receipts from the last couple of months and calculate your average monthly expenditure. Remember annual costs and incidental costs and work them out monthly to factor in. Dont forget any debts and repayments when drawing up a budget page to help with saving for your baby.
* As with any budget, the goal is to work out if you spend more than you earn or vice versa. If you have a good accountant, ask them to send you a basic income/expenses form for budgeting. This is very basic but so many people don't do a budget and have no idea how much they spend and on what, so if you are one of them saving for your baby can be an imperative stimulus to do so .
* Write a list of what you think you will need to set up for and then care for your baby.(then cut it in half!)No...Really! Once you have your new baby, there will still be time to research and buy the things you really need as you go along and be glad for the things that you didn't buy before (eg. because a mum in your group had a spare, a neighbour, friend or relative gave you their old but perfectly good high chair etc.) You may also receive gifts that make it easier as you are saving for your baby.
Looking for some affordable home decor online ? Check out some clever ideas for your babies room.
* Some areas where you may be able to make decent savings are below. Remember, spending less when unnecessary is one way of earning more! | |
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MORTGAGE
Take the time to shop around banking options that might save you interest. Products change and banks compete so there is a possibility that you can lower your total debt and also your repayments if needed, to assist you as you for saving for your baby.
RENT
Is your current accomodation sufficient for the family that you are planning, would you benefit from moving to a less expensive area further out and hence finding more space or a similar space while paying less each month?
UTILITIES
Many shrewd householders make a regular habit of comparing gas and electricity providers to make sure that they are getting the most competitive deal.
PHONE & INTERNET
Assess your home internet and phone situation as these providers are very competitive and new products are coming along regularly, make sure you are not spending more than you need to.
CREDIT CARDS
Some credit card providers will offer a no-fee transfer and lower rates of interest then others, look around, make some calls. Read all terms and conditions very thoroughly and always seek advice from a professional financial adviser if you are not sure.
TREATS & GOING OUT
Many people trying to get together extra funds for whatever reason(including saving for a baby), are astounded at the annual amount of incidental spending that they don't miss after they do a budgeting review (ie, cut down on coffees in cafes, cigarettes, eating out, snacks, alcohol, clubbing, clothes, shoes, petrol, cleaning and personal care products ). Make sure each purchase is necessary and not an impulse buy or just a spending habit. Look for alternatives that are not as costly. |
BABY ITEMS
Speak to all close friends and relatives about your baby gifts to make sure that no doubling up happens (most family who are intending on buying a substantial baby gift will hopefully consult you first) which will help you to prioritise what you will buy. Most gifts however will be cute fluffy toys, baby outfits etc so don't go overboard when you see cute things, as you most likely wont need as many as you think. Accept any offers of seconds, as your baby will grow out of new things so quickly that the extra spending will be wasted. Car seats would be an exception due to safety regulations.
SELL OFF
Realistically, you may not need some of your current trappings of child-free life. Assess your home contents and see what you can sell off on Ebay, Trading Post or at a Garage Sale.
ENTITLEMENTS
Make enquiries with local government departments in your ares as to your financial entitlements as a stay at home or working mother. If you are employed, make sure you know how much paid leave you are allowed.
SAVINGS ACCOUNT
Before getting pregnant (or at least during) , start a child savings account (look around for a decent interest rate), deposit all the savings you are making and add as much extra as you can. As your baby gets older, this is when you will appreciate a back-up account.
SET A DATE EACH MONTH
Review your new budget and keep an eye on your spending habits to make sure you are sticking to your new plan. This will stand you in good stead for the years to come. You could drop down to quarterly budget reviews once you have established a good spending and saving pattern.
'Those who fail to plan.... plan to fail'....an old saying but proven true over and over again)
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