When you have recently had a baby, you may feel like you are spending more money than you should be, yet all those purchases may also feel necessary. You want to give your baby everything to help them grow up to be happy and healthy. By looking at the items you have already bought, and considering your future purchases, you can save some money. Not only that, looking at what you do with this money can also help it to go further.
When you are looking after your baby, you will want to find easy ways to help your money grow, while not taking away from the time you spend as a new family.
Putting your savings into your standard bank account may not allow it to grow all that much at the moment, if at all, depending on the interest rates. You also may be more tempted to spend it if the money is left in an easily accessed account. By putting it into a Wealthify ISA, you may be able to help it grow, and be more inclined to not touch it.
One of the main benefits of an ISA, or Individual Savings Account, is that the interest on this money is tax free, meaning you will get to keep all of it. Over the coming years, this can help you to have more money at your disposal.
While some items, such as a car seat, will want to be bought from new to ensure the safety and warranty, other items may not need to be. You can find a number of second-hand clothes and toys for your baby, where the proceeds go to charity.
Likewise, you may also be able to acquire items for free, or a lower cost, by buying from other parents you know. This can be particularly useful if you know of someone with a baby a little bit older than yours. In turn, you can then sell your second-hand items for a bit of cash, or simply pass them along to continue the chain of kindness.
One of the most important ways you can save money is by planning your purchases. This involves deciding what kind of item you require, setting a budget, and putting more thought into spending the money, as opposed to buying items on a whim. When these items will benefit your baby, you may also find it useful to look into independent reviews to give you more of an idea as to whether or not it is suitable for you and your child. These steps can help you to make informed, frugal decisions.
Giving yourself some time between seeing an item and actually buying it can also be a good idea. All too often, things are bought impulsively and may not really be needed, or even genuinely wanted. Space for clear thought can allow you to figure out if you really need or want the item.
Saving money as a parent means that you can put more into savings. You may also choose to put aside money into a dedicated account that your child can access when they get older. Either way, spending less money will allow you a bit more financial freedom, and take off that pressure that overspending can bring.