Financial Considerations for Expectant Parents

With a new baby coming into your life, there are many financial considerations to take into account. Here are a few things to keep in mind:

Life Insurance

• Do I/we have life insurance?
• How much life insurance will our family need?
• Which kind of life insurance is best for us: universal, variable, or term?
• How do I/we add a child as a beneficiary on existing insurance policies?

Health Insurance

• How can I add baby to my or my partner's health insurance plan?
• Does my current form of insurance cover prenatal care, labor, and delivery?
• Would an HMO or PPO plan serve our needs better?

Employment

• What is my or my partner's family leave policy at work?
• What benefits am I entitled to under the law?
• How long could I or my partner afford to miss work while on family leave?
• Are there other things I/we can take advantage of at work (education assistance, on-site day care, etc.)?
• Do our employers offer flexible spending accounts?
• Does my employer offer a disability plan? If not, how/where can I get one?

Home and Car

• Is my/our home large enough for a family?
• If not, how much home can I/we afford?
• How long will it take to save to buy a new home?
• Is my/our home insured?
• Do I/we need to purchase a different car to accommodate the new baby?
• Do I/we have enough car insurance?

Spending and Saving

• Do I have a budget for baby clothes and furnishings?
• Can my partner and I afford to live on one income?
• If I'm adopting, how will I/we pay for the adoption costs?
• If we need fertility treatments, how will these be financed?
• What are my/our child-care options?
• How much does child care cost in my/our area?
• How much will I/we need to save to send my child to college?
• Do I/we have six months of living expenses set aside in case of emergency?
• Do I/we have adequate retirement funds?
• Do I know how to claim the new child and child-care credits on my taxes?

Personal Issues

• Do I and/or my partner have a will?
• Who would I/we want my/our child's legal guardians to be?