One of the most exciting times of a woman’s life is planning to have a baby.
However, this happiness can often be dampened by the stress that comes with the anxiety of being a new parent and worrying about the finances.
The best approach is to take a deep breath, count your blessings and read up on the five steps you can take right now to help with the financial planning when having a baby.
Review your current finances
Before you decide to have a child, take a look at your financial status. What is your debt situation? How much savings do you currently have?
If you start saving now, how much money would you have by the time your baby is born? Knowing where you stand financially will allow you to plan your future more clearly.
Set some specific goals
Once you have a clear picture of your financial status, you can set some specific goals to achieve.
First of all, think about whether you want to clear your debts before or after the baby is born. Write down your total debt amount and divide it by the number of months you have until childbirth.
If you do this, you will have a goal for each month that you can work towards. Plus, by dividing the debt amount, you are more likely to feel motivated to pay it off.
Create a budget
When you receive your paycheck, create a budget for how exactly you will spend your money: bills, savings, debt repayments, etc.
Ideally, you should plan in advance for every month since no two months’ bills are the same.
When planning for your budget, it is also a good idea to analyse your current spending and identify which areas you can cut back on.
Open designated savings accounts
You can open multiple accounts for specific goals such as one for the baby, one for groceries, and an emergency account.
This helps you organise your money better as you can gauge how much or how little you have left of your monthly paycheck.
Check your maternity leave, insurance coverage, and other associated costs
If you are working, check up on your maternity leave. Ask your employer how long you can leave work and how your salary will be paid, or if there is any paperwork required after the maternity leave period is over.
You should also check how much of your delivery is covered by insurance and if you are to pay the hospital stay in full.
Don’t shop till after the baby shower
Don’t indulge in buying cute things for your child, no matter how strong the urge until after baby shower. In this way, you will avoid buying things that your friends will give as gifts.
This article first appeared in hellodoktor.com. It was reviewed by Dr Duyen Le. The Hello Health Group does not provide medical advice, diagnosis or treatment.