Personal Finance Tips for New Parents From an Expert

As a new parent, your priorities and expenses change considerably. Whether you are planning to go on maternity or paternity leave, or you are already back to work, your income, savings, and investments need to be adjusted to your new reality. In a recent article titled “Personal Finance Tips for New Parents From an Expert,” we learned valuable advice from Priya Malani, the founder of Stash Wealth, a financial planning firm that helps millennials build wealth.

What caught our attention was that many parents struggle to balance their financial goals with the demands of parenthood. Malani explains that “It’s easy to get caught up in the day-to-day of what’s happening with your baby and lose sight of your long-term goals.” To avoid falling into this trap, she recommends the following tips:

1. Create a budget that reflects your new expenses and income.
2. Review your insurance coverage and update your beneficiaries.
3. Set up a college savings plan for your child.
4. Automate your savings and investments.
5. Plan for life events, like getting a will or trust, if you haven’t already.

What we found particularly helpful was Malani’s advice on how to prioritize your goals according to your values, not just what society tells you is important. For example, if you are not sure whether you should save for a down payment on a house or contribute to your child’s college fund, Malani advises asking yourself which goal aligns better with your values.

As a personal finance Enthusiast, I can attest to the importance of planning for your future, especially when you have a child. Having a solid financial foundation not only gives you peace of mind but also allows you to enjoy your new role as a parent without worrying about unexpected expenses or debt.

In conclusion, as a new parent, you can take steps to secure your family’s financial future by creating a budget, updating your insurance, setting up a college savings plan, automating your savings, and planning for life events. By prioritizing your goals and aligning them with your values, you can make informed decisions that benefit your family in the long run.