How are you preparing... financially?

Hi folks, was having a discussion with DH the other night about TTC and we're at a point where there is nothing stopping us (except a few health issues which are being sorted). So it's full steam ahead and we're both very much of the belief that it will happen when it's meant to happen.

After our wee talk the only thing I'm really worried about is the financial side of things. We are the type of people that will find a way to make ends meet no matter what, but it is a worry knowing we may have to live off one income for a while.

Just wondering if anyone here has thought about this and if you're doing anything to prepare?

They way we've decided to do it, is put my salary into a completely separate bank (so we don't 'see' it on a daily basis) and this is also our savings fund.

So, we've already started living off just the one income, plus we're saving really quickly.

It's a bit early to say yet if it's effecting us on a day to day basis.

Milliemoo

Congratulations on going full steam ahead!

DH thinks that everything will be fine and is very relaxed about the money side of things! I on the other hand am looking forward and ensuring that we have enough saved to spend on all the baby set up stuff and then another lot to ensure that I can stay home for at least a year. The longer we stretch it out the longer I can stay home or I am hoping that we will by then have been on a limited income for so long that a little while longer won't matter    

I am not UTD though so the longer it takes, the more we save!

Congrats on full steam ahead!!

We moved islands and of course towns so we could afford to have a parent at home with our kids. We were living in Nelson and DH was on very good wages for the area but we couldn't afford a family home and a family (without not having a family cos we would both be working) so we moved so we could have both. We didn't really do any saving or anything like that but then we were lucky as I was given my Mum's cot and we bought things when we found out we were having Alex. We also didn't go very overboard on the buying of clothes, toys etc as things just don't seem to get used much when they are so little and are only just now getting a good stock of toys etc as he is more involved in playing with them.

Hmm... I agree with what you're saying sweetpea, but I do think the cost of living has greatly increased since our mothers and grandmothers day.

I know DH wouldn't mind having a vege garden, although we don't own our own home, so we would have to find a place were the landlords would let us have one. And I'd have to learn a little bit about gardening too.

The tricky thing with DH & I (we were talking about this last night) is that we don't tend to spend a lot on luxury items. We don't drink or smoke, we don't go out to dinner very often, I don't wear make-up, and we do most of our clothes/general shopping at the warehouse! We aren't frivilous with our money, and while sacrifices are all a part of having kids, we don't have all that many places where we can cut the fat from.

When we were kids mum was the master at making ends meet, but I know she struggled a lot. She did what she had to do, and I know DH & I will be the same, but I also want to make sure that we can pay the bills and keep a roof over our heads.

DH and I have had this conversation too but things have changed slightly in the past couple of weeks however...

We had a bit saved that we were going to use so I could stay at home for 6 months and we could live on one income and still cover mortgage etc but we are slowly eating away at those savings because we are having to pay for fertility things to even have the baby!

What we are going to do from now on is:

Up our monthly payments to utliities( Such as Gas, power, phone/internet, rates etc) so we are in credit by a sizeable amount when the baby arrrives and we can then minimise the payments while Im not working.

Buy grocery vouchers every time we do shopping from now on and keep them aside.

Buy vouchers for Pumpkin Patch, Farmers, Egg etc and keep aside.

When we get pregnant we will buy all big baby stuff - One thing per month. So cot, pram etc.

Buy lots of neutral baby stuff while on two incomes and all the things you will def need like bibs, bottles, blankets and all that.
We want to stay away from buying much actual clothing as we might have a mega sized (heaven help me) or a tiny baby and there is no point buying clothes they won't fit.

And I know this is one that some people might find silly BUT:
I'm going to buy some vouchers for places like Max, Principals, Wild Pair etc FOR ME! I am a self confessed shopoholic and buy new clothes every week. I would like to have some money/vouchers available to still be able to treat myself every now & then once baby arrives. I think thats important.

Keep saving where we can!

Thats the plan so far, I feel like it is quite a good one. We will see though!

One thing to be careful of, make sure vouchers have a LONG expiry date, or buy them when you are pregnant as a lot expire after 1 year.

Hope that helps you with some ideas = )

Oh and I thought I would also add, currently we are thinking I might stay home for around 4 months with baby and then DH will become a SATD for 8 months. I earn more than him so financially this is our best option, even though I don't want to!
As far as I know you can share the 1 years leave from work between parents.

Yep were doing the vouchers thing too - I have brought some Baby City vouchers and they only have a year expiry - but you can top up your voucher card and then the year goes from that date.

So what Im doing is topping it up once a month so then from that date it gives me another year.

Does that make sense?

Its been GREAT Ive only been doing $20 but its added up quickly since we have been ttc forever lol. Its been really good for when friends have babies too, I can go in and spend some of the voucher card without having to use our other money - perfect!

thats a good idea! i might have to do that too when the time comes- like christmas club at the supermarket but MUCH more fun! lol
to prepare for kids we are already living on one income and using the other income to pay off our debts asap and then well save one income to have a good base for emergencies and for a house deposit. then once baby arrives well have a house deposit sitting there already adn i can be a SAHM because we already live on one income and are living pretty happily on that. i mean, we do have to think about money and where it goes, but i try to bake to save money, we dont have takeaways very often etc, we survive quite happily with one car etc..just living within our means i guess. so when bubs comes along, other than the initial outlay for baby things (although well be getting lots of hand me downs which helps) and nappies (plan to use cloth most of the time- again saving $$) well be able to live financially not too differently than we do now just wont be saving as much anymore. but i can live with that.