5 Financial Tips Before & After Pregnancy for Child’s future
Becoming a mother is the most beautiful feeling in a woman’s life. However this feeling should not be disrupted because of money related problems.
Until some time ago, the woman in the joint family did not need to worry much. The mother and the child were fully taken care of by other family members. But now the practice of a single family is growing rapidly, with grand parents not interfering much. With pregnancy, the doctor’s expenses, hospital expenses, baby raising expenses, expenses of study, etc. start.
Financial planning is very important before planning a baby
Here are 5 things that will help you in becoming financially stress free when planning for pregnancy and the future of your child…
Take care of these 3 things before pregnancy
1. Re-create your revenue and spending budget
- Do you know where your hard earned money is spent?
- How much savings do you have at present?
- How much money is there in your retirement account?
If all these questions are not answered, then your finances are not on the right track.
Sit with your partner and list down complete details of your household income, expenses and savings. Prepare an emergency fund by cutting your expenditure. In case of an emergency, you should have money equal to 3-6 months of expenditure.
2. Understand your company’s maternity policy
If you work in an office, gather information about the company’s maternity policy from HR. For instance, how many days leaves you will be given before and after pregnancy, how much money group health insurance will provide, what are the rules if maternity leave has to be increased?
Also, if group insurance is not provided and you have taken personal health insurance, understand the essential things. How much expenditure will be covered in insurance, how the rest of the money will be arranged.
If you understand all these things before pregnancy, you will be able to focus on the care of your child after delivery.
3. Make a purchase by listing the things you need
Make a list of the goods you need and buy before delivery. This may include things like diapers, clothes, milk bottle, bedding, baby food, toys, etc. Also, if you want to give a baby shower party, plan for it in advance.
Take care of these 2 things after the baby is born
1. Life insurance is essential
After becoming mother, you also have the responsibility of a young guest. It is your duty to meet his/her needs and to protect child’s future. Therefore, it is important that you get a life insurance. If case of any unfortunate event, your child will not have to suffer financially.
2. Savings required for education
The rate of inflation in education in India is 10-12%. For example, engineering course which now costs about Rs. 6 lakhs, will cost you 15 lakh after 17 years. Planning is very important for higher education of the child from now on. Therefore, consider the savings schemes and start implementation.
This article has been written by Nilam Mehta and she is one of the owner of this site/blog.
Nilam has worked in Pharmaceutical industry and have studied – Lifestyle Medicine from Doane University; Science of Exercise from University of Colorado Boulder. She believes that many of health problems can be cured naturally.
You can reach her on [email protected]