Learn ways to invest your money before having a baby
Read the full transcript »
Melanie Raposo: Hi everybody! I'm Melanie Raposo and welcome to The Pregnancy Show. The cost of having a baby these days is very expensive. So one of the first thing you need to think about before having a baby is, are you financially ready? Well, today we're breaking down the cost for you and a financial expert gives us great advice on how to budget before the baby comes. Are there any funds that you recommend parents can start putting money like mutual fund or something that will help them save money for that baby? Laurie Campbell: Well, the one thing about if they are saving for a short period of time, they want to keep it in a fund that is going to be accessible, such as a GIC or savings bond, something like that where their money is very accessible. When they think about mutual funds and funds like that, I am thinking more long term that they are going to have this money put away for a period of time. One really important thing that people should do as soon as their baby is born is to look into registered education funds. These are wonderful opportunities for a people to take advantage of government money that is available to every child for post secondary education and certainly if you can maximize the amount that you can contribute, you get $400 every year from the government for free. And that's a very important item for every new parent to consider, because the cost of education is soring. One of the biggest problems we see here in Canada is these young students and kids grow up all too fast with these huge debt loads from student loans. And if you're going to be one of those parents that helps your children along and to avoid this kind of crippling debt everyone is better out for it.