Financial Checklist for New Parents
- Summarised by TGHC Editorial Team
- Jul 7
- 1 min read
Becoming a parent changes everything—including your financial priorities. From hospital bills to future education, financial planning must evolve.
1. Review and Increase Health Insurance
Ensure your health policy covers maternity and newborn care.
Add your child to your family floater as soon as possible.
2. Create or Update Your Emergency Fund
Aim for 6–9 months of expenses, now including childcare costs.
Keep it in an accessible account like a high-interest savings account.
3. Plan for Short-Term Expenses
Budget for diapers, vaccines, check-ups, daycare, and baby gear.
Use second-hand where safe to cut costs.
4. Start Long-Term Investing
Begin saving for school and higher education early via SIPs in mutual funds.
Consider Sukanya Samriddhi Yojana (for girls) or PPF for safe returns.
5. Write a Will
Name guardians for your child and allocate financial resources.
Ensure life insurance is in place with adequate coverage.
6. Revisit Financial Goals and Budget
Adjust existing goals (travel, buying a house) to fit the new reality.
Update your monthly budget to reflect new recurring expenses.
Conclusion:
Raising a child is both joyful and expensive. By planning smartly from day one, you can secure your child’s future and reduce your own financial stress.
Reference:
ET Wealth, Mint, ClearTax, NPS Trust
