Nothing breaks the bank quite like a new baby. However, you can prevent possible financial pitfalls by carefully planning a baby budget and saving money to cover the costs of having a baby.
Medical Costs
Start with the medical bills. You will want to have a good health plan because the cost of prenatal care, labor care, delivery and post-partum care can reach five digits. A reliable insurance plan will take care of a vast majority of your medical bills. Be sure the family is covered before the pregnancy to ensure optimum coverage. This is a large part of the baby costs.
Baby Clothes and Furnishings
Next, you want to look into your baby equipment. Safely transporting a baby requires having equipment such as an infant car seat, a baby stroller and a diaper bag. These items can quickly add up, so put aside between $500 and $1000 for these supplies, if possible.
As for the baby’s room, you want to make sure it is properly furnished for your child’s safety. You will want to have a baby crib (with mattress, bedding and blankets), a baby monitor, a rocking chair, a changing table and maybe even a miniature dresser. This will likely cost you between $500 and $1000 – depending on the quality. You can shop for used baby furniture at local consignment stores, thrift shops and resale stores, as well as online from places like eBay and Craigslist. Don’t forget to allocate money towards toys and play things. A few hundred dollars should be enough early on in the baby’s life.
Baby Food & Other Necessities
Throughout the first year you will be purchasing baby food and different items such as bottles and burp cloths to aid you in nursing your baby. Also, mothers who are breastfeeding will need special equipment such as a breast pump, a special nursing pillow and items for milk storage. All of this will cost at least $500. If not breastfeeding for any reason, prepare for the expensive cost of formula. WIC and other state funded programs may be able to help offset this cost of having a baby.
Other costs to have a baby you need to consider are clothing costs (about $50 per month), diapers (babies often use about 2,500 per year) and child care services.
Unexpected Blessings
This guide will give you a general idea on how much money you should put away before having a baby. Of course, many babies are unexpected blessings. In that case, you may not be prepared. If you need assistance with prenatal care and other baby needs are you don't have insurance, there are many forms of State and Federal aid for new mothers and their babies.