Budgeting As New Parents

posted on Oct 18, 2018

4 must-dos when budgeting for a baby

There is nothing as beautiful as bringing life to the world. The joy, the teary smiles and the excitement of holding your incredibly cute and adorable baby cannot be compared to any other feeling in the world at that moment, especially when it’s your first.

The decision to start a family also involves some financial decisions to adjust your current financials plans. The truth is, having a baby is expensive, the cute little shoes, the cute outfits, the regular hospital check-ups, and of course the diapers, the baby food among many other things you did not know you would have to buy.

Therefore budgeting for a baby is never an easy task. No matter how you plan, there always seems to be something you haven’t budgeted for and it’s not your fault it is very normal for every new mom and you have to deal with it as they come. The most important things is that your baby is healthy.

4 Must-dos when budgeting for a baby

Find out your maternity benefits:

As a working mom to be in a place like Lagos, Nigeria, you have to be certain of what your maternity benefits include and also decide what you would do with the benefits that comes with your maternity leave.

For those that work in organizations that do not provide effective maternity benefits, you should start planning for the arrival of your baby from the very first day you get the good news.

Get life insurance

It is quite poor to know that a lot of Nigerians are yet to consider insuring their properties as soon as they get it or start a life insurance for that matter. But that should not be the case here. It is vital for both parents to have a life insurance policy in place, since they would soon have a dependent. This is not because you are expecting something bad to happen, but it’s more like a way of having an emergency fund saved so you won’t have to panic for money to pay medical bills when the need arises.

Update your budget

Like I said earlier, having a baby is expensive. Having your first child would require you to buy a lot of things that you did not think of at first like, a new car that is designed with back seats suitable for a baby, renovating the house to be more conducive for the baby etc. Therefore, you would have to properly readjust your current budget to accommodate the changes that comes with having a baby. Also, don’t forget to budget for miscellaneous spending. Like I noted earlier, there are a lot of things you would have to buy that you did not think you would need.

Top up your emergency fund

Once your bundle of joy arrives, your monthly expenses would automatically increase, and this does not mean every other plan like the savings or emergency fund has to come to a standstill. It means you might either review your lifestyle expenses and cut off some unnecessary spends or consider another source of income.

View the emergency fund a working ahead for the future, so you won’t have to run helter-skelter when you need more fund for yourself, or your child or for the entire family.

Finally, taking the steps to ensure your family finances is great takes conscious effort of both parents, but it would be worth it.