Welcoming a Child

New baby, new expenses.

As you eagerly anticipate the day when you will meet the newest addition to your family, it’s only natural that you will explore the many ways in which your world will change.

Prepare your home.

This may mean upgrading your space to accommodate another person, or maybe even buying a home of your own instead of continuing to rent.

Plan for extra expenses.

From diapers and formula to toys and clothes, your budget is going to need to be adjusted to accommodate for the costs associated with caring for another person. You will also need to add your new family member to an insurance plan, which may mean upgrading to a family plan that costs more money.

Budget for medical bills.

Ensure you are aware of the expenses that you will be responsible for covering and what your insurance will cover. You will also want to check that your provider is in-network so that you will not be charged higher rates that are often associated with out-of-network providers.

Save for maternity/paternity leave.

Whether you will be out of work for a few weeks or taking a longer leave of absence, you will likely need to anticipate that your income will take a hit temporarily. Set enough money aside to ensure monthly bills and expenses will be covered. And, if you are planning for a growing family with enough advance warning, you may even be able to leverage your savings with an account that offers greater interest-earning benefits.

Consider starting an education savings account.

Setting money aside for your child’s education early and often can make a significant difference for the amount that you can save over time. A major benefit of opening an Educational Savings Account is that contributions are tax-free.