BUDGET FOR A NEW BABY
Article: Budget for a New Baby
Budget for a New Baby
It’s hard to believe that someone so tiny can come with such a big price tag. The Agriculture Department estimates that it costs $222,360 to raise a child born in 2009 from birth through age 17—and that doesn’t even include college.
If you’re thinking about having a baby, you can reduce the cost with a little planning:
- Look into your health insurance plan and investigate your total out-of-pocket expenses for hospitalization, prenatal office visits, and pediatrician appointments.
- Get used items like a crib, clothes, and stroller.
- If you have a baby shower, ask for practical items as gifts.
- Resist the urge to buy the newest and latest items like designer clothing and name-brand accessories.
- Plan and research the cost of diapers, formula, and other baby items. You may want to get a membership to a discount store to buy in bulk and take advantage of deals.
- Investigate the cost of day care or one parent staying at home. If you have multiple children, it might be cheaper for one parent to leave work for a while.
- Look into tax credits for baby.
- Consider an Advantis Credit Union home equity line of credit if you need to make changes to your home to accommodate your new addition.
Check out how a new child could affect your finances with our Budgeting Tool.