Avoiding Debt as a Parent
Raising children is not inexpensive. The U.S. government estimates that it takes well over $150,000 to rear a child through the age of 17. Imagine multiplying this figure by 2 or 3 children and the challenge is tremendous. Child rearing costs are a major factor in creating debt if not managed correctly. Make sure that your primary residence is affordable and that you do not buy too much house when children arrive. Shop at Super Stores like Costco or Walmart and buy in bulk, freezing what you cannot use right away. Separate into meal-sized portions.
Try to eliminate eating out too often; take your lunch to work. This is a great way to save money. Buy clothes at discounters to save money. Don't forget about local garage sales and consignment shops. Flea markets are a great way to save. Make sure you have insurance for you and your entire family. This is key in a family emergency or child's accident. Start a savings plan for your children's education. This will create a pool of funds to be used for child rearing expenses. Trade babysitting services with neighbors. With good financial planning, going into to debt to finance your children's upbringing can be avoided.