The quick test
- You can cover expected baby costs without using credit cards for routine expenses.
- You have a plan for parental leave, including any unpaid weeks.
- You know what childcare will cost before the baby arrives.
- You have at least one month of expenses saved, with a path toward three to six.
- You can still pay for housing, food, insurance, transportation, and debt minimums.
Costs to model first
Start with delivery costs, diapers, feeding, insurance premiums, medical copays, baby gear, childcare deposits, and lost income during leave. Childcare usually decides the budget more than cribs, strollers, or registry purchases.
What makes the answer yes
The answer becomes yes when the budget is boring. That means recurring costs fit, emergency savings are moving in the right direction, and the plan still works if one assumption is wrong.