When a couple wants to have a family then there are many things that they need to plan to make sure that they are able to give their baby a happy and secure life. Family planning involves financial planning so that you can thoroughly enjoy your parenthood. Having a baby is surely one of the best things to happen but it also brings along lots of responsibilities.
It is important that the couple does all the planning and the preparations before the baby comes in the world so that they are able to manage the preliminary expenses of the baby along with the regular add on expenditure which will increase with passage of time. They also need to consider the two biggest costs involved- educating the child and then marrying the child. But just with the right planning and financial management, they can manage the financial strain in an effective manner.
This article talks about some of the points which are highly effective in financial planning for family planning.
Increase Your Earnings
This is the most important point. You must work to increase your income. You can do so by start working, if you are not already working. And if you are already working then must take up some additional work to increase your earnings before the baby arrives. There are various lucrative work from home options for pregnant ladies which are a wonderful idea.
You must figure out your necessary expenses and expenses on luxuries. You must know that when the baby arrives, your expenses will be sky high. Hence, controlling them in advance can help you prepare for future. Control expenses on luxuries. Do not overspend on things that are not necessary for the baby. You can ask for baby stuff from your friends and family to help you save. Plan you purchases.
It is very important for every family in India to have health and life insurance. This will keep you and your family protected. If you have no insurance then you must get it now. If you already have one the find out if you need to enhance your cover. Maternity insurance is also something you can go for. This is the best way to keep your family covered from calamities.
Say No to Debts
Do not use credit cards. If there are any pending payments then get done with them. Write off your debts before the baby arrives as the interest is going to eat away lot of your money.
It is important to start making investments in order to have a secure future for your child so that he can pursue his studies and have a good career. You can go for a savings account where you can put money in it from time to time. You can also have a PPF account where you can invest small amount on monthly basis to get good returns in future. You can also make long term investments in mutual funds which can bring wonderful returns. You need to work out on a strategy to manage and multiply your money.
All the points that have been mentioned above are very much important for planning a family. With increasing expenses, every family in India must take these points into consideration so that they can bring their baby in a financially secure environment. The day you plan your child, you add an additional expense to your list because from then you start spending money on medicines, tests followed by hospital bills, expenses on baby products and the list goes on. Therefore, it is highly recommended that you plan your finances first and then have a baby.