The Business Insider’s recent article, “The first 3 things to do with your money before you have a baby are easy to overlook,” discusses the most important things to do with your money, when you're preparing to have a baby.
1. Understand your health insurance. Pregnancy and birth are major medical events and result in big bills. With a high-deductible compared to a more traditional group plan, there could be a wide range in your share versus what the insurance company covers.
2. Access to cash. You need liquidity, and should plan on keeping 12 months of anticipated spending in a checking, savings, or money market account you can access easily, without unnecessary risk.
3. Guardianship. There are some other things that many expectant parents fail to think about with kids. This includes insurance, wills, and guardianships. New flash: you're now responsible for someone other than yourself! If something unfortunate were to happen to you, you now have the added responsibility providing for the care of your children.
4. Estate Planning. It’s common for those without significant assets to overlook their will and estate planning. This includes establishing who will raise your child should something happen to you and your spouse and how that care will be paid for. People forget about the guardianship of their children.
Guardianship is now an important part of your total estate plan. Talk with an experienced estate planning attorney and be certain that all the right pieces are in pace for your family’s sake.
Reference: Business Insider (August 22, 2017) “The first 3 things to do with your money before you have a baby are easy to overlook”