Adding a baby is expensive, and doing so while going through emotional and physical change can be even harder. The stress that comes with managing your family finances shouldn’t take away from your memories and bliss. We’re not going to preach about the percentage you should spend on housing or food, just give you a few ideas on how to be fiscally smart and learn some family budgeting basics.
1. Take advantage of Canada’s Benefits. The Canada Child Tax Benefit is based on your family income, and all may apply. Whether you qualify for this or not, the Universal Child Care Benefit, which totals $100 per month, (per child under six) is available to everyone. It is a taxable benefit, but still more than worth the quick application. If you are having a baby in BC, the hospital will provide you with forms upon discharge.
Canada Child Tax Benefit
Universal Child Care Benefit
2. Set up an RESP if you can. Even if you can afford to only deposit their cash birthday and Christmas presents, it will have 18 years to grow, and especially in today’s market climate, by then surely the stock market will be on the upswing… Go into your bank, set up an appointment with a banker, and choose the best options together. The RESP is much more flexible than it used to be, so even if little Aidan chooses a community college over Queen’s University, your money isn’t lost.
3. List what is important to your lifestyle. Is missing date night going to kill your spirit and make you a grumpy parent? Why not cut out the coffee shop and choose a more frugal date option to cover the cost of the sitter?
4. Figure out your unnecessary spending. Could you take a lunch to work? Do your kids really need all of those paid activities? Could you replace one dinner a week with a simple sandwich night?
5. Credit cards. Yikes. If you pay a fee, is it worth it? Do you know what benefits you get from your card and actively use them (or are you one of the people at the car rental counter who still gets the optional insurance because you’re just not sure…)? Just like the gift cards that stores count on people losing, credit card companies know that most consumers won’t take advantage of the purchase protection on that new TV or the double warranty on your precious espresso machine.
6. Know your health benefits. If massage is covered, maybe that is just as good as treating yourself to a pedicure. When traveling, many families will buy extra insurance although the company already covers it.
7. Demand excellence. If your sippy cup’s valve doesn’t work, or the zipper on your baby’s jacket gets stuck, let the company responsible know. You are helping future consumers, and you may get a replacement.
8. Reconsider your relationship to charity. Others always need us. Instead of cutting your charities out of your life as the budget shrinks, why not donate your time? You and your kids may just receive the reality check you’ve been waiting for.
9. Shop smarter. We’re not exactly coupon clippers – who can find them in a full diaper bag? – but shopping at a well-priced store, and buying sales items while there can save you a bundle, plus help to create some variety in your diet.
10. Pay your bills on time. OK. Another one we’re not great on, but many companies offer debit directly out of your bank account or payment to your credit card. Just make sure all of your payments come out or are due around the same day so you can stay organized.
11. Think community. Finding a dentist, doctor and hairdresser in your neighbourhood could not only save time and stress, but also gas and greenhouse emissions.
12. Think big. Don’t blow a gasket about the small stuff. Paying too much for grapes or being a day late on the bills is nothing compared to not doing good research on buying a car, a house, or a new computer. Investigate your options, and in today’s economy, a little negotiation could go far. Getting a slightly better mortgage rate can save you thousands.
For great ways to save on spending, check out some Sample Sales.
Nanny Salaries: Salaries for Live-in Caregivers.
[…] this coming year. Chart a plan for activities for the kids. Talk a bit about budget. (See our article for help). The drink champagne and start saving […]
The most important thing in running your budget is not spending unless you have it in the bank. My father taught me this. So, you run your credit cards up to the point you can pay them in full that month; you don’t ever buy what you wish for , but don’t need;you finance only a car or a house, and you never buy dinners, movies, trips, clothes unless the money is in the bank at the end of the month. If you ever find a card ‘maxed out’, get it together; you are not doing a good job……. No excuses either Good Luck
[…] There is nothing worse for a pregnant woman or new mom with heightened emotions. The nasty parking officer writes you a ticket as you are nursing in the front seat, or trying to find enough change to pay. (Or worse – you pay for 30 minutes and don’t count on the diaper change/tantrum/spit-up incident that keeps you from the car for a few extra minutes). Stress you don’t need. In many cities, there is an automated parking meter system. We are very rarely preachy here at UrbanMommies, but for goodness sake, program the number into your cell phone, and set up your credit card on the system. Every time you leave the car, write doen the code in your cell phone in case you need a few extra minutes. Breathe. Make life easy. (And keep spare change in the diaper bag for old-fashioned meters and shopping carts.) A parking ticket is something you just don’t need. (And it’s not in the family budget). […]
[…] With the Federal budget out of the way, and financial ideas flying around during the election process, we thought we’d send you a little treat. Our interactive Family Budget Calculator can help you get organized so that stress can be reduced and savings can grow. We also have some great Family Budget Basics. […]
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[…] Make it a game. Develop a budget and see how far under you can come each month. Split the leftover between a fun jar and an RESP jar. Here are some budgeting basics. […]