Whichever way you look at it, having children is expensive. Did you know the cost of raising a child to the age of 18 topped £150,000 in 2018 for couples? In this post, we shall take a look at handy budgeting tips for parents, to help with saving money on a tight budget.
Carefully covering the everyday outgoings and creating a budget can be crucial for managing family finances. If you are planning ahead here are some budgeting tips for parents to help you get your funds in order.
Be Thorough With Your Budgeting Plans
Before you begin to work on your budget, you need to thoroughly examine what you’re spending money on. Look at your bank statements from the past 12 months to see what payments you regularly cover. Make a note of anything that cropped up that was unexpected.
You may have a direct debit set up for your childcare provider. However you could have forgotten you had to pay so much for the uniform at your eldest’s new school.
You may be convinced your gas and electricity bills come to £180 a month but you’re actually paying £50 more. Create a list of regular outgoings and the surprises that have cropped up.
Plan Your Finances Ahead
Once you know where your money is being spent, you can then set out a budget. Look at what could be cut from your list of outgoings to free up your finances for the essentials. Swapping your gym membership for home workouts or takeaways for store-bought pizzas, you will soon save money.
If you want a good starting point, there are handy budgeting calculators online that can help set your budget plan. Having details and in black and white will guide you and you are more likely to stick to your plan!
You don’t have to remove everything you enjoy though. However by updating what you’re doing now can help your finances in the future.
Shop Around For Better Prices
You could be paying too much for your utility bills. Do some research into energy suppliers to see if there are any alternatives and compare prices. There are plenty of comparison sites available that can help you find the best deals.
Similarly, reassess your food shopping. Would going to a different supermarket help to make some savings? If you’re buying the same foods every week for the kids, you may find identical items for half the price. This is one of the main easy lifestyle changes that save money.
Also, exchange branded products for cheaper alternatives. Try preparing meals that can be batch-cooked and frozen. Meals such as soups, to spread the cost of the ingredients further.
Final thoughts on budget tips for families
If you think you need to reassess your finances, the above tips are a great place to start. Budgeting and being careful with your spending can help with the cost of raising your children.
Do you have any top budgeting tips for parents? How much are you hoping to save?
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