Financial Checklist for New Parents Download Contents A STEP-BY-STEP GUIDEBefore Growing Your FamilyAfter Birth or AdoptionBudgeting Tips for a New BabyResources A STEP-BY-STEP GUIDEA STEP-BY-STEP GUIDEBefore Growing Your FamilyAfter Birth or AdoptionBudgeting Tips for a New BabyFirst Year Estimate CostsResources Congratulations! You or your kids (or grandkids) are expecting a baby. Just like that, life changes as preparations are made and plans are laid. We know the joys of parenthood are bountiful, even as the challenges multiply. Believe it or not, there’s a financial planning piece of the new-child puzzle, and Adviser Investments is here to help. We hope that if you’re a new or expecting parent, you’ll find time to give this a read and start planning, or if you’re a new or expecting grandparent that you’ll share this with your family. This checklist is drawn from our more than 25 years of experience advising clients through all stages of their financial lives. It’s a step-by-step planner designed to help you and your family navigate at least some of the financial obligations of parenthood. Before Growing Your Family The best time to begin financial planning for a new child is before they arrive. However, it’s never too late to get started. After Birth or Adoption Once you have your new child’s name and other identifying information in hand, you can put your plans for their future into action. Budgeting Tips for a New Baby It’s estimated that in their first year, a baby will add between $10,000 and $25,000 in one-time and ongoing expenses for the average American family. The table below breaks down some of the major categories of spending for budgeting purposes. Note that these figures can swing widely based on where you live, your current circumstances and how you choose to spend. First-Year Estimated Costs First Year Estimate Costs wdt_ID Category Description Budget 1 Out-of-Pocket Insured Health Care Costs for pre-natal, labor and delivery and follow-up care will vary greatly based on health care services required and your insurance coverage. Your insurer will be able to tell you the maximum you’ll have to pay out of pocket. $4,000–$15,000 2 Child Care Nine months of daycare at a center. Varies greatly by region/provider. $3,000–$11,000+ 3 Housing & Transportation On average, married couples with children spend significantly more on housing and transportation than married couples without kids $7,000 4 Life Insurance $1 million policy premium for each parent; assumes they are a healthy 30-year-old man and woman. $700 5 Diapers, Wipes & Clothing 12 months of disposable diapers and wipes, along with $60 a month on clothes. $1,800 6 Food & Nursing Includes six months of formula and solid food, bottles, a highchair and breastfeeding supplies. $2,250 7 Furniture & Gear Crib, mattress, bedding, gliding chair, changing table, car seat, stroller, carrier, bouncer, diaper bag, baby monitor, bathing/grooming supplies, childproofing, etc. $1,550 8 Miscellaneous Toiletries, medicine, toys and books. $950 9 Education Savings Education savings are optional but starting early makes a big difference. $600+ Note: Table uses assumptions about “average” spending and costs based on our estimates, third-party survey results and government data. These numbers should serve as a rough guide—your individual expenses may be higher or lower based on your situation. Sources: NerdWallet, BabyCenter, United States Department of Agriculture, HealthCare.gov, United States Department of Labor. To help offset some of the estimated costs in the table (which assumes you buy everything new): Put must-have items on your baby-shower registry. Join community parents’ groups to hear about deals and hand-me-down offers. Try to buy secondhand or get reusable items for free from friends, family or consignment shops. (Note that the American Association of Pediatrics recommends buying car seats new.) If your company offers a health savings account (HSA) or flexible spending account (FSA), you can save money taxfree for qualifying health and child care costs Resources Cost Calculators. Try out some online calculators to get a better idea of what it will cost you to raise a child. We like the ones on NerdWallet and BabyCenter. What-to-Buy Lists. You can find a wealth of articles and lists available online to help you figure out what to get for a new child, but the BabyCenter and What to Expect websites are two places to start. We recommend doing your own research or asking your friends or family for advice on what’s essential before buying big-ticket items, then building your own lists of needs and wants from there. Budget Trackers. Aside from the Adviser Investments Detailed Budget Worksheet, our online client portal, Adviser Insights, can be linked to your financial accounts to help you easily track your spending and savings. Mint and Quicken provide similar online budgeting tools. Adviser Investments. If you have questions on how much insurance coverage you need, getting started with an education savings plan or about creating your budget, please call us at (800) 492-6868 or email us at info@adviserinvestments.com to see how one of our financial planners may be able to help you. This information is distributed for informational purposes only. Adviser Investments, LLC has no relationship with NerdWallet or BabyCenter. These resources are referenced solely for your convenience. We do not guarantee your satisfaction or that a particular product or service will be suitable for your specific needs. © 2022 Adviser Investments, LLC. All Rights Reserved. Contents A STEP-BY-STEP GUIDEBefore Growing Your FamilyAfter Birth or AdoptionBudgeting Tips for a New BabyResources What Your Finances Should Expect When You’re Expecting You can’t put a price on the joys of parenthood (or grandparenthood). Unfortunately, the same cannot be said for the costs of raising a child—and it’s important to start planning for the financial obligations as soon as possible. After all, it’s easier to make a budget when you’re not sleep-deprived or adapting to a new routine. In this exclusive checklist, we detail: Budgeting for what you want (and what you need) to spend on Determining beneficiaries and legacy concerns Saving for education And much more! It’s never too soon to help your family prepare for the financial obligations of parenthood. But whether you’re already expecting or expecting to be expecting, this guide can help. Please complete the form on this page to receive this free, no-obligation step-by-step guide today! For more information, please call us at (800) 492-6868. Share with a friend: Download Financial Checklist for New Parents Please confirm your complimentary portfolio review… No thanks, just show me the report Your report has been delivered! A copy of Financial Checklist for New Parents was sent to the email address you provided. View Report Great! A personal portfolio manager will contact you shortly. Also, a copy of Financial Checklist for New Parents has been sent to the email address you provided. View Report
Financial Checklist for New Parents Download Contents A STEP-BY-STEP GUIDEBefore Growing Your FamilyAfter Birth or AdoptionBudgeting Tips for a New BabyResources A STEP-BY-STEP GUIDEA STEP-BY-STEP GUIDEBefore Growing Your FamilyAfter Birth or AdoptionBudgeting Tips for a New BabyFirst Year Estimate CostsResources Congratulations! You or your kids (or grandkids) are expecting a baby. Just like that, life changes as preparations are made and plans are laid. We know the joys of parenthood are bountiful, even as the challenges multiply. Believe it or not, there’s a financial planning piece of the new-child puzzle, and Adviser Investments is here to help. We hope that if you’re a new or expecting parent, you’ll find time to give this a read and start planning, or if you’re a new or expecting grandparent that you’ll share this with your family. This checklist is drawn from our more than 25 years of experience advising clients through all stages of their financial lives. It’s a step-by-step planner designed to help you and your family navigate at least some of the financial obligations of parenthood. Before Growing Your Family The best time to begin financial planning for a new child is before they arrive. However, it’s never too late to get started. After Birth or Adoption Once you have your new child’s name and other identifying information in hand, you can put your plans for their future into action. Budgeting Tips for a New Baby It’s estimated that in their first year, a baby will add between $10,000 and $25,000 in one-time and ongoing expenses for the average American family. The table below breaks down some of the major categories of spending for budgeting purposes. Note that these figures can swing widely based on where you live, your current circumstances and how you choose to spend. First-Year Estimated Costs First Year Estimate Costs wdt_ID Category Description Budget 1 Out-of-Pocket Insured Health Care Costs for pre-natal, labor and delivery and follow-up care will vary greatly based on health care services required and your insurance coverage. Your insurer will be able to tell you the maximum you’ll have to pay out of pocket. $4,000–$15,000 2 Child Care Nine months of daycare at a center. Varies greatly by region/provider. $3,000–$11,000+ 3 Housing & Transportation On average, married couples with children spend significantly more on housing and transportation than married couples without kids $7,000 4 Life Insurance $1 million policy premium for each parent; assumes they are a healthy 30-year-old man and woman. $700 5 Diapers, Wipes & Clothing 12 months of disposable diapers and wipes, along with $60 a month on clothes. $1,800 6 Food & Nursing Includes six months of formula and solid food, bottles, a highchair and breastfeeding supplies. $2,250 7 Furniture & Gear Crib, mattress, bedding, gliding chair, changing table, car seat, stroller, carrier, bouncer, diaper bag, baby monitor, bathing/grooming supplies, childproofing, etc. $1,550 8 Miscellaneous Toiletries, medicine, toys and books. $950 9 Education Savings Education savings are optional but starting early makes a big difference. $600+ Note: Table uses assumptions about “average” spending and costs based on our estimates, third-party survey results and government data. These numbers should serve as a rough guide—your individual expenses may be higher or lower based on your situation. Sources: NerdWallet, BabyCenter, United States Department of Agriculture, HealthCare.gov, United States Department of Labor. To help offset some of the estimated costs in the table (which assumes you buy everything new): Put must-have items on your baby-shower registry. Join community parents’ groups to hear about deals and hand-me-down offers. Try to buy secondhand or get reusable items for free from friends, family or consignment shops. (Note that the American Association of Pediatrics recommends buying car seats new.) If your company offers a health savings account (HSA) or flexible spending account (FSA), you can save money taxfree for qualifying health and child care costs Resources Cost Calculators. Try out some online calculators to get a better idea of what it will cost you to raise a child. We like the ones on NerdWallet and BabyCenter. What-to-Buy Lists. You can find a wealth of articles and lists available online to help you figure out what to get for a new child, but the BabyCenter and What to Expect websites are two places to start. We recommend doing your own research or asking your friends or family for advice on what’s essential before buying big-ticket items, then building your own lists of needs and wants from there. Budget Trackers. Aside from the Adviser Investments Detailed Budget Worksheet, our online client portal, Adviser Insights, can be linked to your financial accounts to help you easily track your spending and savings. Mint and Quicken provide similar online budgeting tools. Adviser Investments. If you have questions on how much insurance coverage you need, getting started with an education savings plan or about creating your budget, please call us at (800) 492-6868 or email us at info@adviserinvestments.com to see how one of our financial planners may be able to help you. This information is distributed for informational purposes only. Adviser Investments, LLC has no relationship with NerdWallet or BabyCenter. These resources are referenced solely for your convenience. We do not guarantee your satisfaction or that a particular product or service will be suitable for your specific needs. © 2022 Adviser Investments, LLC. All Rights Reserved.