You are at that stage of life where you are thinking about having your first baby. It is a life-changing event and while it is exciting, it can also be expensive. If you're concerned about your finances, you'll want to be sure you're ready to be financially ready when it comes to having a child. Here are three major expenses to think about before having a baby:
If you both you and your partner work, you'll need to find a trustworthy person or daycare to look after your baby when maternity leave is done. If you don't have a family member who is willing to look after your baby for free, this can be a huge expense. The cost will largely depend on where you live, and whether you live in a city or a smaller community.
According to statistics, a majority of households in the United States spend 10% of their income on childcare. When it comes to average weekly rates for one child, the cost of daycare or a child care center was $196 and the cost of hiring a nanny was $556.
Of course, you're going to have to feed your baby, and if you aren't planning on breast feeding, you'll have to use formula. The cost of formula can vary, according to brands and different types. It also depends on how much your baby eats. Here are some averages on how much parents spend on formula per ounce:
- Generic formula - $.07 cents
- Regular formula - $.11 cents
- Brand name formula - $.14 cents
Depending on the type of formula you decide to use, it can cost anywhere from $49.50 to $99 for the first month. Since babies will need more formula as they grow, this cost can climb to almost $1,200 a year.
One more thing your baby is going to need is diapers and lots of them. According to the American Pregnancy Association, babies urinate 20 times a day and should be changed every two to three hours. This means your baby would possibly need up to 12 diapers in a 24-hour period.
There are many brands of diapers out there, and the brand you choose is going to affect how much you pay. On average though, you can plan to spend anywhere from $.21 cents to $.30 cents per diaper, which means you'll be spending around $919.80 to $1,314 a year on diapers.