Welcoming a baby into your family is one of the most joyous occasions of your life. But just like anything worth celebrating (such as your wedding day or buying your first property), it’s not without its expenses.
How quickly they grow! The bills, that is.
Did you know it costs roughly $300,000 to raise a child from birth to age 17?
If you break that down, that’s $1470 a month.
This can put a significant strain on your monthly budget and mortgage repayments.
Rest assured, however, there are several steps you can take in advance to minimise the impact on your new family’s bottom line.
1. Obtain the essentials in advance
The upfront expenses are really going to whack your budget hard. So it’s best to obtain the items you’ll need well in advance to spread the cost.
Of course, you can purchase a brand new bassinet, playpen, clothing, car seat, cot, stroller, toys, high chair and changing table.
But chances are you don’t really need that fancy, brand new $1,000 cot. Focus on your needs instead of your wants, because wanting can quickly add up.
There’s absolutely nothing wrong with obtaining gently-used items second-hand, either at a substantial discount through trading websites or for free from a family member or friend. Remember that bub outgrows everything quickly anyway.
2. Check into paid paternal leave and corporate leave
If you worked before having your baby and made under $150,000 annually, you could be eligible for the government’s Paid Parental Leave program.
You do have to apply, but you get 18 weeks of minimum wage benefits (amounting to $719.35 per week before taxes).