Deciding to have your first child is an exciting time in your life, however it can also raise a few concerns, particularly when it comes to finances. Raising a child is an experience which will enrich your life, and being in the right financial position will allow you to enjoy your new family even more. Here are a few key points to remember when doing your financial planning before your first child arrives.

Assess Your Financial Position

One of the hardest questions you will have to ask yourself is establishing if you are financially ready to support a child. If you have any outstanding debt, or have trouble meeting loan repayments and bills, you may have to postpone your plans for children until your financial position is stronger. It can be a good idea to seek the advice of a qualified specialist such as Fox Symes debt solutions to work on improving your finances. They can offer budgeting assistance, as well as debt consolidation advice, allowing you to get rid of your outstanding loans and credit cards as fast as possible.

Work on a Budget

When you have consolidated your debt and have worked on strengthening your position, you can start working on a budget. Think about your current income and expenses, and then study how this might change once you have a child. You may need to consider changes to your lifestyle to allow you a greater capacity for savings.

Educational Expenses

It is a well-known fact that education can be one of the largest expenses you will face when you are raising your child. The best plan of attack is to start saving as early as possible. Whether you choose to save into your own account, invest in an Educational Savings Plan or explore the possibility of increased repayments in view of re-drawing on your mortgage, your decision will depend on your individual position and preferences.

Care Considerations

The cost of childcare can seem exorbitant, and many parents are trying to find ways to balance this expense with their own care solutions. Having the children cared for by family members, even just once a week, can make a huge difference to the expense of childcare over a year. You may be able to consider one parent staying home to provide care while the child is young, as even with the loss of wage, it can be both an emotional and financial benefit for the family. Finding jobs that allow you to work from home or coordinate your own business are becoming increasingly popular with stay at home parents. The savings on the cost of childcare can mean that your income doesn’t have to be as high. Being adequately prepared for your child’s arrival will ensure that they get the best possible start in life. You can focus on the enriching experience of raising your child without constantly worrying about the next month’s bills and expenses. Having a strong financial plan is the key to looking after your family, both now and in the future. Written by Emma Jane

**This is a guest post**

Saving for your first home can seem like an unconquerable goal, however there are a range of ways to maximise your efforts and get your dream home faster than you might think. No matter what financial situation you’re currently in, here are some top tips on saving money for your first home.

Consolidate Your Debts

A home loan is one of the biggest debts you will ever incur. For this reason, it’s essential that you have complete control over your current level of debt. Before you can start saving money for your first home, you will need to work hard at repaying all of your loans and credit cards in order to build a good credit file and quality savings record.

For many people with several cards and a couple of personal loans, it can be difficult to keep track of exactly what you owe. Speak to the professional consultants at a provider such as Fox Symes to get some more information and assistance on consolidating your debts. This will leave you with one simple monthly repayment and a low rate of interest, allowing you to be debt free and ready to save sooner.

Draw Up a New Budget

Now that your debts are under control, you should sit down and work on a new budget. Create a spread sheet with your income and expenses, and include as much detail as you possibly can. Having columns that divide your money into bills, necessary expenses, travel costs, luxury items and money spent on socialising will give you a clearer idea of where your income is going. From here, you can decide what isn’t essential, and reassign these funds to a specific savings account dedicated to your first home.

Start Your Savings

Once your budget has been sorted, you can start the process of saving for your home. It helps to have your allocated savings transferred automatically from your pay into a high interest account; you’ll be surprised just how fast it starts to add up. Choosing an account which penalises you heavily for any withdrawals will ensure that your savings are staying where they should be!

Ready to Buy

Saving up your deposit is a great achievement, however there’s something else you will need to have before you can start the buying process. When you apply for a loan on your first home, you should have an established ‘safety net’. This is the amount of money you have in the bank in case of emergencies, and it should total 6 months of your monthly fixed expenses. Once you have your deposit and an adequate ‘safety net’ of savings, you’re ready to buy your first home!

For more quality budgeting assistance and information, contact Fox Symes. As one of the biggest providers of debt solutions in Australia, their dedicated and qualified team of professionals can help you to get rid of your existing debt and prepare for the purchase of your first home.

Written by Emma Jane