Planning and Budgeting for Pregnancy and New Baby
Expenses start adding up as soon as you become pregnant. Organizing your finances is one of the most important parts of readying yourself and your family for your new baby’s arrival. A newborn’s first few days, weeks, and months are a wonderful, hectic whirlwind. Now’s the time (while you still have it) to meet some financial goals before your new bundle arrives.
The U.S. Department of Agriculture estimates a middle-income family spends around $233,610 raising a child from birth to age 17. But how do you get your financial ducks in a row?
Family planning involves monetary planning for the birth and beyond.
Here are some steps you can take as a parent-to-be to set yourself up for financial stability.
Get Health Insurance Before Your Baby Arrives.
If you don’t have health coverage, now’s the time to sign up because even with insurance having a baby is expensive. If you can’t get health insurance through you or your partner’s employer, consider insurance through the Affordable Care Act.
If you already have health insurance, it’s time to ask your provider the following questions.
- What are my copays for prenatal appointments and other services?
- What’s included under my policy’s prenatal care?
- Does my policy cover additional hospital services like the anesthesiologist on staff?
- Does my plan cover an extended hospital or NICU stay?
- What is my deductible?
- Does my policy cover after-birth equipment like breast pumps?
- Will my plan cover my new baby?
Plan for Parental Leave.
Parental leave can significantly impact your household finances. Does your employer offer paid or partially paid maternity leave? What about paid time off for your partner (if you have one)? Every company is different, so it’s essential to understand your workplace’s policies to get a better picture of how parental leave will affect your household’s bottom line.
Tip: If you have been with your current employer for at least 12 months, worked at least 1,250 hours, and the company you work for has at least 50 employees, you may be eligible for a job-protected leave of absence through the Family and Medical Leave Act (FMLA).
Create a Savings Plan for Your Baby.
A savings plan for your newborn can include setting up a general emergency fund or putting aside each month for expected future expenses like childcare. Begin saving as much as possible each month as soon as you find out you’re expecting.
Update Your Household Budget.
There are going to be new costs once your new baby arrives. Here are a few of the most common expenses for a newborn.
- Diapers and wipes can cost around $60-$80 per month
- Newborn formula costs around $115 per month if you use it full-time
- Car seats cost an average of $175
- A good stroller is anywhere from $200+
- A full nursery set costs around $2000
- New baby clothing can cost around $60+ per month
Money Saving Tips for New Parents
The minute you find out you’re pregnant, it can be hard to resist running to the store to buy a new maternity wardrobe and every baby gadget you see on social media. Use the tips and tricks below to help you save.
#1. Borrow maternity clothes. While you may want to invest in a few new pieces, consider borrowing maternity clothes from friends, family, or your community members. You can also try shopping for your maternity wardrobe at second-hand stores.
#2. Buy second-hand baby supplies. Things like toys, books, clothes, and baby tubs are fine to reuse. However, if you plan to buy second-hand baby items like a car seat, crib, or stroller, be sure they adhere to current safety guidelines.
#3. Don’t overbuy (overhyped) gear. Most baby gadgets end up collecting dust. Instead, focus on the items you will actually use, like diapers, wipes, clothes, and bottles.
Family Planning at Complete Healthcare
We are a group of physicians, nurse practitioners, and registered nurses offering the best healthcare services to our patients. If you’re pregnant or planning on becoming pregnant, please contact us at (614) 882-4343 or fill out our online contact form to learn more about our family planning services.