• Number-Crunch - Assess how the child will affect your income. Run the numbers to determine your household income if mom or dad begins staying at home to help you set a realistic budget.
• Medical Bills - Add up childbirth costs. Hospital charges typically run around $35,000. Even if you have coverage with a big insurer, like UnitedHealth Group or Aetna, you could get saddled with four-figure bill.
• Know Your Benefits - Tally maternity leave and other employer benefits. In addition to six or more weeks of paid maternity leave, some employers, like Microsoft and General Electric, offer flexible work schedules, on-site childcare and education discounts.
• Who’s Watching the Kids? - Count up childcare costs. Scouting out options early can save you money and help get your offspring into the facility of your choice.
• Be Covered - Insure yourself. The right coverage will provide for your child even if you’re unable to work–or not around at all.
• Plan for Plan Changes - Determine family health insurance costs. Find out if your new child has his or her own deductible and raises the family’s maximum payments. A new family member may also boost what you pay each month.
• Write Your Will - Estate planning now can make a worst-case scenario a lot easier for your survivors.
• Home Matters - Reevaluate your residence. As your family grows, your home might have to as well. Whether you’ll need a new residence or just a new crib, it pays to factor this into your budgeting.
• Fund Education - Start saving for college right away. The earlier you save, the more your savings will compound–and it will do so tax-free if you put it into a 529 savings account.
• Retirement Saving - Update your retirement plans. Even if another mouth to feed means cutting back on retirement savings, continue investing at least enough to earn any employer 401(k) matching.
• Be Prepared - Set up an emergency fund. Life delivers surprises. Try to build an emergency fund of readily available cash.
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