The skyrocketing costs associated with raising a child are intimidating. Worrying about how to afford diapers and medical care for a new baby is stressful enough for new parents without adding the pressure of rising tuition fees as your child grows.
A growing number of financial methods are now used by many to save money or build their financial portfolio. Although you may be familiar with a couple of these financial terms, you might not realize how these accounts and other financial considerations can greatly affect the baby you’re going to have.
1. Solid starter Parents like Beth and Bill Ryan of Lake in the Hills, Illinois, found dedicating time to their financial portfolio prior to having a baby beneficial. “Between the extra and unexpected costs of having a child, and the amount of time it took to adjust to being parents, we wouldn’t have been able to investigate all of our options as thoroughly as we did until our daughter was older,” the mom of two explains.
Planning your finances before your baby arrives offers the chance to save based on both long-term and short-term goals. Registered financial planner and certified financial specialist Rick Sabo of Gibsonia, Pennsylvania, stresses the importance of familiarizing yourself with savings plan options. “This can offer financial assistance in the first months of having a baby as well as create the flexibility to adjust your savings plan as your child grows and your family’s needs change,” says Sabo, the Regional Vice President of Money Concepts.
Sabo is one of many financial experts who help their clients rating alternatives such as working from home or forming a babysitting coop with friends and neighbors.
Click here to read more on budgeting for your new baby and about life insurance.