A NEW guide to help first-time parents budget for a baby has been launched by the National Consumer Agency (NCA).
My New Baby, an online guide available for download at nca.ie, includes planners to help parents budget for everything they will need before and after the birth.
The guide contains a “baby budget planner” that helps parents plan for one-off purchases such as a cot, high chair or baby bath. Once the baby arrives, a general budget planner helps parents to compare the ongoing cost of things such as nappies and creche fees against their income.
The guide also contains a Baby Steps booklet that includes tips on managing your finances from pregnancy right through to saving for a college fund.
Stage one of the booklet is all about planning for the baby’s arrival, with tips on starting to save, budgeting for medical costs and any new working arrangements after the birth.
Stage two looks at managing your money as your child gets older. With the cost of food, clothing, entertainment and education increasing as your child grows, the booklet shows how careful planning can help you stay in control.
This part of the booklet also shows parents how to stagger their spend on annual and occasional expenses such as birthdays, Christmas and school uniforms.
The final section of the booklet shows parents-to-be how to save and invest for their child’s future as well as how to pass on good money values to them.
The booklet also has pointers on the legislation relating to unmarried, co-habiting and same-sex parents.
Speaking about the guide, NCA chief executive Ann Fitzgerald warned that having a baby could bring huge changes financially.
“First-time parents face a number of expensive once-off purchases before a baby arrives and there will also be ongoing costs,” she said. “Starting to plan ahead as soon as you can, before the baby is born, is the best way to ease some of the financial pressure and the NCA’s My New Baby guide is here to help new parents do that.”
Speaking about the guide, Michael Culloty, national development officer at the Money Advice and Budgeting Service (Mabs), said: “It is essential when planning for significant life events like the birth of a child that we plan for the occasion physically, psychologically and financially.
“Planning financially was prudent in good times. It is even more essential in difficult and uncertain economic times like at present.”
