Becoming a new Mum or Dad is a daunting prospect at the best of times. You are suddenly thrust into a whole new world of crying, nappies and sleepless nights…actually, that makes it sound pretty negative…there is also the unconditional love for another human being which arms you to cope with all the hard bits. Believe me, it is so worth it.
There is, of course, another matter to consider. The financial side. There is the cost of every single piece of kit imaginable for a new baby which includes car seats, prams and pushchairs, clothes, nappies…and so the list goes on. Then, as they grow, there are childcare costs to consider, school trips, clubs, clothes (which in my case seem to be needed every other week at the moment!) and much more. Interestingly enough, The Telegraph published an article last month stating that:
– One-in five mothers have returned to work earlier than expected
– 29% of parents’ gross annual income spent on raising a child
– 44% of parents cut back over the past year to make ends meet
They went on to say that the basic cost of raising a child in the UK from birth to the age of 21 has increased by 63 per cent since 2003, to £229,251 at present. This is an increase of just under £2,000 in the last year!
With the financial aspect in mind, one of the many things to take into account at this busy time, would be your Life insurance and whether or not you are covered. To help with this, Legal and General are generously offering £10,000 worth free life cover for 12 months to new parents.
I think that this is a fantastic incentive to any new parent to ensure that, perish the thought, if something untoward happens to one of you there are measures in place to help finance the situation.
Legal and General also offer some wonderful tips over on their site including budgeting techniques, getting help with childcare costs, advice for low income families and help with managing your finances when you have a new baby.
When I have my time again, I will certainly be taking Legal and General up on this great offer.
Disclosure: Please note that I was compensated for this post