Budgeting for Baby
Having a baby is exciting… overwhelming…and expensive. Your mind has probably been in over-drive since you found out the exciting news! It’s no surprise that there are a lot of costs associated with having a newborn. Your life is about to change and so will your bank account. Making a budget will help you stay on track and help put your mind at ease.
When working on a budget, it’s important to figure out how much your household income will be each month. Next, make a list of monthly bills that you can’t do without – housing, utilities, food, transportation, medical expenses, etc. You can determine how much “extra” money you’ll have by subtracting your monthly bills from your expected income. Now, what to do with all that “extra” money?!
Below are a few items to factor into your new budget with baby:
- Dietary needs. Growing a tiny human means you need a wide variety of nutrients in order for baby to grow strong and healthy. In addition to finding a prenatal vitamin, your grocery bill may increase a bit, too. Look for items with lots of folic acid and that are higher in protein and iron.
- Maternity clothes. While this doesn’t have to be a huge expense, you will more than likely have to purchase a few items to allow room for a growing baby.
- Medical expenses for momma and baby. Thankfully, momma’s expenses are a one-time thing! This will vary depending on your insurance so it’s important to talk to your doctor to find out what your insurance will cover. The baby will also have a series of well-checks as they grow, so be sure to discuss insurance options for baby, too.
- Pre-baby expenses. There is a lot to consider, and it can be extremely overwhelming! Luckily family and friends tend to be very generous when shopping for baby things! A baby shower will help to minimize these expenses but be prepared to purchase some items that weren’t gifted to you. I.e. Nursery furniture, car seat, stroller, high chair, to name a few. Be smart with your money. Shop around…babies aren’t hard on things so even if it was “used” before, chances are it’s still in good condition!
- Child care. It’s important to figure out a plan for your little one as soon as possible. You have several options and will need to figure out what’s best for baby, but it’s important to find a nursery, day-care or baby-sitter sooner rather than later. Of course, you’ll want to factor that cost into your monthly expenses.
- Necessities. Food, clothing and diapers all add up and need to be figured into the budget. Obviously, the diapers are temporary, but food and clothing will never go away!
One step at a time is the best way to prepare for baby. You’re on the right track by setting a budget and figuring in additional expenses. Now that you have a plan in place, don’t waste time stressing about the costs of having a baby. Focus on the plan you’ve made and welcoming your little bundle of joy into the world!