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Building Savings for Your Bundle of Joy

Starting a family is a major step. Your goals and priorities can change quickly. While you could earn and spend your money as you'd like before, you now have to make sure that your family's needs are met first.

  1. Step 1

    Adjust Your Budget

    Ramp up savings and reallocate spending to cover the jump in food and clothing costs, as well as new expenses such as diapers and child care.

  2. Step 2

    Update Insurance Options

    Look at your current health insurance arrangements and understand your coverage options for childbirth. Update them accordingly and budget for anything that won't be covered. Revisit your life insurance policies, wills and retirement plans to update your beneficiaries. If you haven’t already set up these documents, now is the time to do that.

  3. Step 3

    Plan Your Leave

    Does your employer offer maternity or paternity leave? Determine what you can afford to take and understand that you may have to make some tough choices about when you return. Weigh the options when it comes to child care as well, including how feasible it is for one parent to stay at home with the child.

  4. Step 4

    Understand Tax Implications

    Having a child affects your taxes. Take time to familiarize yourself with these IRS tax tips for new parents ahead of time.

Future Finances

In addition to managing your own finances, set aside funds so that your child has money of their own to learn responsible money management as they grow.

Investments

Navy Federal Financial Group, our wholly owned subsidiary, has representatives who can help you create a portfolio to build savings for yourself and your children.

Learn More about investing with NFFG