What New Parents Need to Know About Money

When Lauren Lindsay’s daughter was born, the baby’s severe digestion problems required special formula that cost $26 a can.

Ms. Lindsay and her husband didn’t think twice about buying their daughter the formula she needed. But at several cans a week, the cost was still hard to swallow.

Veronica Dagher on Lunch Break has money tips for new parents. Parents-to-be who get their financial house in order have a better shot being prepared for the unexpected once junior is born and can save families from financial catastrophe.

“Expect the unexpected when you have children,” says Ms. Lindsay, who is also a certified financial planner in Covington, La.

Couples who get their financial house in order have a better shot at being prepared for the unexpected once Junior is born. Planning ahead also can save families from financial catastrophe.

Here are eight financial tips for parents-to-be:

1 Live on one paycheck.

As soon as a couple finds out they are expecting, they should try to live on one paycheck for several months before the baby is born, says June Walbert, a San Antonio-based certified financial planner. She says this helps parents figure out what expenses they need to cut and helps them get acclimated to a reduced income should one parent decide to stay home for an extended period of time.

via What New Parents Need to Know About Money – WSJ.com.