{"id":14150,"date":"2025-11-19T02:55:00","date_gmt":"2025-11-19T08:55:00","guid":{"rendered":"https:\/\/www.discover.com\/online-banking\/banking-topics\/?p=14150"},"modified":"2025-11-19T12:44:05","modified_gmt":"2025-11-19T18:44:05","slug":"affording-a-second-child","status":"publish","type":"post","link":"https:\/\/www.discover.com\/online-banking\/banking-topics\/affording-a-second-child\/","title":{"rendered":"Affording a second child: How to make your budget work"},"content":{"rendered":"\n

Having kids is anything but cheap. Families can expect to spend an average of $322,427 raising a child born in 2015 through age 17\u2014based on data from the U.S. Bureau of Labor Statistics, cited on U.S. News<\/a>. With high inflation and continuing increases in the costs of raising a child, proper budgeting can help make things easier to manage.<\/p>\n\n\n\n

If you\u2019ve had your first child, you understand\u2014from diapers to day care to future extracurricular activities, you know how it all adds up. You\u2019ve already been through budgeting for a new baby<\/a>, but here are some tips on affording a second child.  <\/p>\n\n\n\n

While you may feel like a parenting pro, overlooking tips to prepare financially for a second child could be bad news for your bank account. Fortunately, affording a second child is more than doable with the right planning. If your family is about to expand, consider these budgeting tips for a second child:<\/p>\n\n\n\n

1. Think twice about upsizing<\/h2>\n\n\n\n

When asking yourself, \u201cCan we afford a second child?\u201d, consider whether your current home and car can accommodate your growing family.<\/p>\n\n\n\n

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Kimberly Palmer, personal finance expert, says sharing bedrooms can be a major money-saver as you\u2019re budgeting for a second child. Sharing might not be an option, however, if a second child would make an already small space feel even more cramped. Running the numbers through a mortgage affordability calculator can give you an idea of how much a bigger home might cost.<\/p>\n\n\n\n

Swapping your current car out for something larger may also be on your mind if traveling with kids means doubling up on car seats and stowing a stroller onboard. But upgrading could mean adding an expensive car payment into your budget.<\/p>\n\n\n\n

\u201cParents should first decide how much they can afford to spend on a car,\u201d Palmer says.<\/p>\n\n\n\n

Buying used can help stretch your budget when you\u2019re trying to afford a second child\u2014but don\u2019t cut corners on cost if it means sacrificing the safety features you want.<\/p>\n\n\n<\/div>\n\n\n

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While you may feel like a parenting pro, overlooking tips to prepare financially for a second child could be bad news for your bank account.<\/p>\n <\/blockquote>\n<\/div>\n\n\n

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2. Be frugal about baby gear<\/h2>\n\n\n\n

It\u2019s tempting to go out and buy all-new items for a second baby, but you may want to resist the urge. Palmer\u2019s tips for affording a second child include reusing as much as you can from your first child. That might include clothes, furniture, blankets, and toys.<\/p>\n\n\n\n

Being frugal with family expenses<\/a> can even extend past your own closet.<\/p>\n\n\n\n

\u201cIf you live in a neighborhood with many children, you\u2019ll often find other families giving away gently used items for free,\u201d Palmer says. You may also want to scope out consignment shops and thrift stores for baby items, as well as online marketplaces and community forums. But as you\u2019re budgeting for a second child, <\/strong>make sure you\u2019re keeping safety first, just as you would if you were buying a used car.<\/p>\n\n\n\n

\u201cIt\u2019s important to check for recalls on items like strollers and cribs,\u201d Palmer says. \u201cYou also want to make sure you have an up-to-date car seat that hasn\u2019t been in any vehicle crashes.\u201d<\/p>\n\n\n\n

3. Weigh your childcare options<\/h2>\n\n\n\n

You may already realize how expensive day care can be for just one child, but that doesn\u2019t mean affording a second child will be impossible.<\/p>\n\n\n\n

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Michael Gerstman, a chartered financial consultant and CEO of a financial group, says parents should think about the trade-off between both parents working if it means paying more for daycare. If one parent\u2019s income is going solely toward childcare, for example, it could make more sense for that parent to stay at home.<\/p>\n\n\n\n

As you\u2019re budgeting for a second child\u2014and considering whether to take a career break\u2014you\u2019ll also want to think about whether taking time away from work to care for kids could make it difficult to get ahead later in your career, Palmer adds.<\/p>\n\n\n\n

\u201cIf you stay home with your child, then you\u2019re also potentially sacrificing future earnings,\u201d she says.<\/p>\n\n\n\n

4. Watch out for sneaky expenses<\/h2>\n\n\n\n

When you\u2019re budgeting for a second child, there are two major tips that can sometimes be overlooked: grocery and utility costs.<\/p>\n\n\n\n

If you\u2019re buying formula or other grocery items for a newborn, that can quickly add to your grocery budget. That grocery budget may continue to grow as your second child transitions to solid food. Having a new baby could also mean bigger utility bills if you\u2019re doing laundry more often or running more air conditioning or heat to accommodate your family spending more time indoors with the little one.<\/p>\n\n\n<\/div>\n\n\n

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Gerstman recommends using a budgeting app because it can help you plan and track your spending. If possible, start tracking expenses before the baby arrives\u2014even as you\u2019re considering \u201cCan we afford a second child?\u201d You can anticipate how your spending may change once you welcome home baby number two, especially since you\u2019ve already seen how your expenses increased with your first child. Then, compare that estimate to what you\u2019re actually spending after the baby is born to see what may be costing you more (or less) than you thought each month. You can then start reworking your budget to reflect your new reality and help you afford a second child.<\/p>\n\n\n\n

5. Prioritize financial goals in your new budget<\/h2>\n\n\n\n

Most tips related to budgeting for a second child focus on spending, but don\u2019t neglect creating line items for saving in your budget.<\/a> <\/p>\n\n\n\n

\u201cAn emergency fund is essential for a family,\u201d Palmer says. \u201cYou want to make sure you can cover your bills even in the event of a job loss or unexpected expense.\u201d<\/p>\n\n\n\n\n\n\n

There are numerous reasons you need an emergency fund<\/a>, particularly as your family is growing. But paying off debt and saving for retirement<\/a> should also be on your radar. You might even be thinking about starting to save for your children\u2019s college.<\/p>\n\n\n\n

Try your best to keep your own future in mind alongside your children\u2019s. While it feels natural to put your children\u2019s needs first, remember that your needs are also your family\u2019s\u2014and taking care of your future means taking care of theirs, too.<\/p>\n\n\n<\/div>\n\n\n

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“Putting money aside when you’re expecting can help offset the sticker shock that comes with a new member of the family.”<\/p>\n