Saving You Money For Life

As a new parent, you can expect your expenses to rise to an unprecedented amount of money, actually about $11,000 more a year, according to the Department of Agriculture. But there are ways to keep spending to a manageable level by following these expert money saving tips for new parents from USNews.com.

Decide on a work (or no-work) plan – Before your child is born, it’s important to decide if, when and who will go back to work. It may not make sense for both of you to go back to work if one of you makes less than the cost of childcare.

Don’t mix debt with babies – Reducing your debt, such as credit cards, auto loans and student loans, while you’re pregnant should be a priority before your child is born. This will help to stabilize your financial situation and make spending less of a burden when the baby arrives. It’s also important to have an emergency fund equal to about three months worth of living expenses.

Take advantage of your body’s free food supply – Baby formula costs around $100 a month, while breast milk is free, according to Erica Sandberg, author of Expecting Money: The Essential Financial Plan for New and Growing Families. Talk to your doctor to see if this option is right for you.

Set up a trust and buy life insurance for your family – New parents need a will to specify where their assets will go in the event of a premature death. It’s also important to set up a trust and purchase life insurance to protect your child’s financial future. Term life insurance is also an inexpensive option to provide your loved ones with financial support when you’re no longer around.

Ask yourself: Did this exist a few years ago? – Recently there have been many new inventions in the baby market, like leather diaper bags and video baby monitors. It’s likely that you can live without many of these new products, especially if they didn’t exist years ago when your parents were raising you.

Keep checking AccuQuote’s blog, become a fan of AccuQuote.com on Facebook, and follow us on Twitter for more valuable money saving tips and to learn about the benefits of term life coverage. And be sure to shop online to get free term life insurance quotes. You may be able to save up to 70% on your term life insurance cost!

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