Saturday, June 27, 2015

What to Expect (Financially) When Expecting

What to Expect (Financially) When Expecting

Join our #CreditChat every Wednesday at 3 p.m. ET on Twitter and YouTube. This week, we discussed how to be financially prepared for a baby. Our #CreditChat panel included Emerge Benefit- a Workplace Financial Wellness Program, Mina Ennin Black- Founder of Life Event Financial Planning and In The Black financial workshops, Chad Smith- Certified Financial Planner at Financial Symmetry, and Damian Davila- Personal Finance and Wisebread Staff writer. We were also joined by several influencers in the personal finance community on Twitter. This deck features tips from: @SFCUNews, @emergebenefit, @FEC_Philly, @CityParentsLaw, @LeslieHTayneEsq, @DebbiKing, @DavilaDamian, @Frostbe, @sougboneparth, @lenda, @WealthWithMina, @kevincswanson, @Payoff,
Published in: Economy & FinanceLifestyle

Transcript

  • 1. #CreditChat Wednesdays | 3 p.m. ET What to Expect (Financially) When Expecting Featuring: Emerge Benefit, Mina Ennin Black, Chad Smith and Damian Davila
  • 2. Join our #CreditChat every Wednesday at 3 p.m. ET. This week, we talked to the community about the cost of having kids. ex.pn/expecting
  • 3. The average middle-income family will spend $12k on expenses in the baby’s first year. Source: Parenting.com
  • 4. #CreditChat Wednesdays | 3 p.m. ET What are the first financial steps a couple should take after learning they are expecting?
  • 5. Review your current budget. Find ways to increase savings and decide what your income and spending look like once the baby is born. “ Wednesdays | 3 p.m. ET #CreditChat ” Emerge @emergebenefit
  • 6. Consider including steps like updating insurance needs. Not just life - also short-term and long-term disability. “ Wednesdays | 3 p.m. ET #CreditChat ” Brad Sherman @shermanwealth
  • 7. Create a pre and post-pregnancy budget. Review emergency savings. Get/Review insurance: life, health, and disability. “ Wednesdays | 3 p.m. ET #CreditChat ” Mina Ennin Black @WealthwithMina
  • 8. Sit down with a CFP professional and discuss financial planning. Estate planning and insurance planning are now critical steps. “ Wednesdays | 3 p.m. ET Douglas A. Boneparth @dougboneparth #CreditChat ”
  • 9. #CreditChat Wednesdays | 3 p.m. ET What does a baby budget look like?
  • 10. Large items to consider in a baby budget are child care, diapers and formula/food. #SoManyDiapers “ Wednesdays | 3 p.m. ET #CreditChat ” Grace Kvantas @GraceKvantas
  • 11. A baby budget accounts for all the big and little things they may need- from diapers and wipes to doctor visits and insurance. “ Wednesdays | 3 p.m. ET Emerge @emergebenefit #CreditChat ”
  • 12. Don’t get overwhelmed! Meet with a financial advisor and look into insurance, emergency fund, and will and trust options. “ Wednesdays | 3 p.m. ET #CreditChat ” Payoff @Payoff
  • 13. Babies don’t just require large amounts of money, they also require time. Important to consider how that affects finances. “ Wednesdays | 3 p.m. ET #CreditChat ” Brad Sherman @shermanwealth
  • 14. #CreditChat Wednesdays | 3 p.m. ET What are some unexpected costs associated with having a baby?
  • 15. Don’t forget that Dad will want to take time off from work to spend time with the new baby. Budget for that. “ Wednesdays | 3 p.m. ET Southeast Financial @SFCUNews #CreditChat ”
  • 16. Mom and baby may need some additional doctor visits, which can be easy to forget when budgeting for prenatal care and delivery. “ Wednesdays | 3 p.m. ET #CreditChat ” Emerge @emergebenefit
  • 17. It’s always a good idea to have an emergency fund to cover unexpected costs. Consider starting a separate baby emergency fund. “ Wednesdays | 3 p.m. ET #CreditChat ” Philadelphia F.E.C. @FEC_Philly
  • 18. If planning to get pregnant, get life insurance BEFORE becoming pregnant. Life insurance for a pregnant woman can become prohibitively expensive. “ Wednesdays | 3 p.m. ET #CreditChat ” Shannon McNulty @CityParentsLaw
  • 19. “Carve out some funds to enjoy time together before the baby enters the picture.” - Chad Smith CFP, Financial Symmetry
  • 20. #CreditChat Wednesdays | 3 p.m. ET What are some frugal tips for preparing your home for a baby?
  • 21. Pre-make meals and freeze them! Trust me, when you’re exhausted those first couple of nights home, they’ll be a godsend. “ Wednesdays | 3 p.m. ET #CreditChat ” Leslie H. Tayne, Esq @LeslieHTayneEsq
  • 22. Thrift stores and yard sales have awesome baby items- many in excellent condition. “ Wednesdays | 3 p.m. ET #CreditChat ” Debbi King @DebbiKing
  • 23. Through local parents of multiple groups, my wife and I have been able to receive, exchange and provide great items. “ Wednesdays | 3 p.m. ET #CreditChat ” Damian Davila @daviladamian
  • 24. Teeny onsies and itty-bitty shoes may be irresistible, but control those impulse buys - save the money for necessities. “ Wednesdays | 3 p.m. ET #CreditChat ” Emerge @emergebenefit
  • 25. Seek hand-me-downs. Chances are a friend or relative can share some baby furniture or other supplies! “ Wednesdays | 3 p.m. ET #CreditChat ” Leslie H. Tayne, Esq @LeslieHTayneEsq
  • 26. #CreditChat Wednesdays | 3 p.m. ET How can parents save money on baby clothing, diapers, food, etc.?
  • 27. AmazonMom is a great way to save on diapers (even more than COSTCO).“ Wednesdays | 3 p.m. ET #CreditChat ” Becky Frost @Frostbe
  • 28. Find out if your insurance covers a breast pump. Most insurances cover them, even the $300+ top models! “ Wednesdays | 3 p.m. ET #CreditChat ” Damian Davila @daviladamian
  • 29. Buy diapers in bulk, or go the eco-friendly route with cloth diapers. “ Wednesdays | 3 p.m. ET #CreditChat ” Emerge @emergebenefit
  • 30. #CreditChat Wednesdays | 3 p.m. ET How do parents decide if they should stay home or work and use a daycare?
  • 31. The average cost of center-based daycare in the United States is $11,666 per year ($972/month) Source: National Association of Child Care Resource and Referral Agencies (NACCRRA)
  • 32. Look at the financial sacrifice you’d be making on both ends. Another option: split time between daycare and staying home. “ Wednesdays | 3 p.m. ET #CreditChat ” Leslie H. Tayne, Esq @LeslieHTayneEsq
  • 33. Very personal decision. Look at what’s right for the parents and what is healthy and affordable for all involved. “ Wednesdays | 3 p.m. ET #CreditChat ” Becky Frost @Frostbe
  • 34. Check with your work about what your options are. Run that against your budget and what you need to keep your goals in place. “ Wednesdays | 3 p.m. ET #CreditChat ” Douglas A. Boneparth @dougboneparth
  • 35. It seems like more employers are embracing working remotely. Worth a shot! “ Wednesdays | 3 p.m. ET #CreditChat ” Lenda @lenda
  • 36. Create two budgets: for staying at home and going to work. Consider: retirement contributions and possible Social Security ineligibility. “ Wednesdays | 3 p.m. ET #CreditChat ” Mina Ennin Black @WealthwithMina