Help new parents budget, save

A new Scotiabank study shows only half of parents budget for a new baby before it is born.

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British Columbians are more likely to save prior to their child’s birth at 71%, while only 30% of Atlantic Canadians say they’ve saved.

On average Canadians think it will cost $4,970 to prepare for the new baby. Men believe it will cost on average $5,350 while women ballpark it at $4,600. Also more men say they budgeted before the arrival of a baby at 55% while 45% of women say they did.

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Advisors should help new parents plan a budget and run that budget through a number of scenarios. Make sure new parents begin planning early for their children’s education, and they don’t overspend on new baby supplies. First time parents can be overwhelmed with choice and won’t know where they can be thrifty.

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.