10 Tips For Your Baby Budget

Preparing for the arrival of your newborn can be an exciting but expensive time for your family. Good financial planning and smart spending habits will help you accept your little bundle of joy into your heart without breaking the bank. Here are 10 tips to ease the financial pressure of having a baby.

1. Find your financial bearings – When considering starting a family, it’s important to analyze current spending habits and determine your necessities versus non-essentials. This will help you prepare your finances for the new arrival.
2.  Create a baby budget for one-time expenses and for on-going expenses – Estimate what you will spend on one-time, big-ticket items like a crib or car seat. Then plan for future on-going expenses like diapers, food, and daycare.
3. Open a baby savings account – To help you save, open a separate baby savings account so you don’t spend money ahead of time. Extra costs can come up unexpectedly, so it’s best to start saving early.
4. Review your insurance – Remember to review your medical insurance to make sure you’re covered for additional health care costs and any baby-related medical expenses. Also, remember to update life insurance coverage and wills to cover all your bases.
5. Plan your purchases at stores - Compare prices to make sure you are getting the best deal and take advantage of current sales. For example, you can buy larger size of a current clothing style that is on sale for your baby to wear later on. 
6. Shop used – Consignment stores will help save you a pretty penny on clothing, toys and baby gear. Buying used is also a smart option for items that your child will grow out of quickly.
7.  Buy in bulk - Frequently used items that you use a lot of - things like wipes, diapers, formula, laundry soap - are more efficiently purchased in bulk, and will save you not only money, but trips to the store as well.
8. Swap or borrow – Borrow or trade items with family and friends who have had babies. This can help everyone involved save a bit of cash and reduces waste.
9. Create a registry – If having a baby shower, create a registry at a well-known store for family and friends to refer to. This is an easy was to get those smaller and non-essential items.
10. Don’t fall for hype – Stop yourself from buying a bunch of accessories that in the end the baby won’t need and don’t overpay for brand-name items. Your baby will be happy with just the basics.

Keep in mind that when you are buying for baby, you should focus on the necessities. Your baby needs nothing fancy - only to be safe, warm, fed, and loved. Keeping it simple and making a few wise financial choices will make it easier for you to make ends meet as your family grows.