Expecting a baby is exciting, but it can also be an expensive time. Follow these steps to make sure you’re prepared for your new arrival.
Step 1 – take stock of your money
Top tip
You can avoid wasting money by asking other mums which baby items they actually needed and used, and what you don’t need to buy right away.
It’s never too early to work out your budget. Don’t put it off until after the baby is born.
If you know exactly what’s coming in and going out each month, it can help you figure out what you can afford.
Budget Planner
To help you manage your money, use our free and easy-to-use Budget Planner
Making a list of what you need and finding out how much everything costs will help you prepare for your new arrival and avoid any unexpected expenses.
Baby Costs Calculator
Work out what your baby will need and how much it will cost.
Step 2 – review joint finances
Shared responsibilities, such as a new baby, means you might have to change the way you deal with joint decisions around household budgeting. And if one of you is planning to take time off to look after the baby, it’s a good idea to think about how a reduced income might affect your choices. It’s important to:
- talk frankly about money – don’t keep any financial secrets and there won’t be any surprises
- set some ground rules – agree not to buy anything over a set limit, say £50, without discussing it with each other first
- make time – household budgeting is important, so set aside regular time to discuss and agree money matters.
Find out more about talking about money with your partner in our guide Should you manage money jointly or separately?
Step 3 – cut back on your expenses
Top tip
Pay your utility bills automatically using Direct Debits and standing orders as you’ll often get a discount for doing so by your provider.
If your income is likely to change (for example, if you stop work), you might need to look at cutting back. A good starting point is to divide your outgoings into essential and non-essential items.
First, see if you can save on essentials like household bills and groceries by using comparison sites. Next, look at non-essentials, are there things you could do without, like a gym membership or TV subscriptions?
Step 4 – reduce your debts
Top tip
If you can’t pay off all your debts straight away, pay off the most important bills and payments first.
It’s important not to ignore debts or only stick to just paying the minimum each month.
If you take time to deal with debts now, it will save you money in the long run.
Find out more in our guide How to prioritise your debts
Step 5 – open a savings account
The sooner you start putting money aside, the better. While you can, build up your savings to cover essential baby costs and see you through any period of lower income.
It might be better for you to go for an easy access account that you can dip into if you need to, rather than one that will lock your money away.
But if you think you’ll be tempted to spend your savings, make it a little harder to access cash.
For example, try choosing a savings account with a different bank, so it’s less easy to move money into your current account.
Find out more in our guide Bank accounts to keep and save your money
Join our Facebook group
Join our private Budgeting and Saving Facebook group for money-saving tips and support from a community of savers.
Step 6 – boost your income
Claim all your entitlements
What you can claim depends on where you live and your personal circumstances.
You could be entitled to benefits and other help towards the cost of raising a family, such as Universal Credit and Child Benefit.
Find out more in our guides:
What benefits can I claim when I'm pregnant or have a baby?
Help with the cost of living
Take a few minutes to check which benefits you can claim and how much you could get a month with our Benefits Calculator.
You can also search for grants using the grant checkerOpens in a new window on the Turn2us website.
Find out more in our guide How to prioritise your debts
Other money-making ideas
There are other ways to boost your income, such as doing some work from home.
You might also think about raising cash by selling unwanted possessions or recycling old mobile phones or laptops.
There are dozens of money-making ideas to help get you started on the MoneySavingExpert website
Keep track of important dates
You have lots of things to do, and dates to remember, when you’re expecting a baby.
Use our Baby Money Timeline
It gives you a full personalised list of all the money-related dates having to do with your pregnancy and new baby. It can also help you budget for expenses, when to ask about parental leave, and tell you when you’re able to claim certain benefits and grants.
Use our Baby Money Timeline.
