How to Stick to Your Baby Budget

Easy tips and guidance to stick to a budget when you're expecting your first (or another) child

The stork has arrived with the newest light of your life—a beautiful, bouncing baby! First things first—build your new baby budget. Haven’t gotten that far yet? No worries! That’s why we’re here to help.

After you build your budget for your newest addition, what’s next? Sticking to it! Sure, easier said than done, huh? (We promise to walk you through each step along the way.)

As you probably already know, having a baby will change more than your social life and sleep schedule. We’re here to help you navigate through both the happy moments and unexpected challenges of being a parent.

New baby budget tips

Expect to spend a little more in the first few months.

Hopefully, you have some books, toys, and other baby necessities set up and ready to go (thank goodness for baby showers!). If you don’t, consider purchasing those items during your pregnancy. That way, you can try to spread the costs of the new baby throughout the year, rather than all at once. Even so, the first few months will bring extra—and sometimes unforeseen—expenses. Diapers, clothes, food—oh baby, they sure can add up!

Check in on your budget often.

As with any budget, whether it’s a new baby budget or your general life budget, you’ll want to check in every few weeks to ensure your budget is on track. You don’t need to micromanage yourself here! Instead, just keep an eye on your cash flow and ensure you’re still able to save for the future (retirement plans, investments, and emergencies don’t stop just because you had a baby!).

Consider how much paid and unpaid time off you are taking.

Most companies offer some sort of paid leave. But not all offer paternity leave or leave for adoption and foster children. Even if your employer offers maternity leave, many people still have to use all of their vacation time and still have to rely on FMLA. Most employer maternity leaves do not cover 12 weeks of pay. That means, many times, new parents take unpaid leave from their jobs. Remember, your PTO can vary dramatically depending on where you work, so don’t just assume you’ll have the standard two weeks. Get ahead of this by talking with your employer before your new baby arrives and factoring it into your budget.

Reuse, recycle.

Hey, baby won’t know if her crib is from your bestie’s house or his fancy stroller is a hand-me-down! As long as it’s still safe (especially car seats and cribs!) and clean, borrowing baby items is the way to go! Ask around or take a peek at your neighborhood’s parents’ Facebook page. Finding used toys and other baby supplies can be super easy. And, many times, they are good as new!

Begin saving early.

Now’s the time to begin putting money aside for your little one. As we often say, save often and save early! If you plan on contributing to their college tuition or to any of their future expenses, set up an account and decide how much you will eventually add to it. Are you still wondering if you should put money aside for your child’s college tuition? Or, still wondering what the heck a 529 plan is?! We can help! Try our college savings calculator.

Become the coupon hero!

Now’s a good time to download couponing apps and keep an eye out for the latest and greatest sales. Even if a sale on baby shampoo only saves you 10 cents, the amount you will save overall will add up fast. And, hey, you can put that extra cash to work for you!

Put a little cash aside for any unforeseen expenses.

Kids are unpredictable. Set aside a little sum of money, just in case. This cash is on top of your typical emergency fund. And, just as important as building your emergency fund is knowing when to spend your “rainy day” cash.

Have more budget q’s? Need to plan for other expenses, such as a new home or setting up a budget? Keep at it in the app, and get the rest of your financial plan in order. All it takes to reach financial wellness is 3 minutes a week!