“Do what I say and not what I do” is something too many kids can hear when growing up. And if not in those words, then in their parents’ actions.

Speeding, swearing, not exercising and poor money habits are bad examples that parents can set without realizing it.

Some parenting “fails” teach children about money — but in bad way. Here are some parenting “fails” that parents can turn around to teach their children about money:

Bad parenting impulse buys

Some impulse purchases can be fun. An ice cream treat after a tough week at school or a movie out as a way to break up the monotony of staying home too many nights can be  worthwhile motivators for kids to do better in school or at least be a fun break.

But if you can’t afford them, or spend too much on an expensive impulse buy — such as the latest technological gadget that you’ve coveted for months — then it can show a lack of restraint in how you shop.

Even small impulse buys, if made often, can show your child that it’s OK to buy something without giving it much thought and that you get what you want. But small purchases add up, and a better lesson would be to give up such purchases and put that money aside in a vacation fund for the whole family to enjoy the benefits of giving up short-term joys for long-term planning of a family vacation.

Every parent has probably had their child ask for a candy bar or something while waiting at the grocery checkout line. Telling them no can be difficult, but it beats raising a child who thinks they’re entitled to everything they see.

Not letting them work for their money

Giving a kid an allowance is a great idea — if they work for it. Like indulging impulse buys, handing a kid some cash each week without doing anything in return for it can lead them to equate you with being a bank.

Money doesn’t just appear in your pocket magically. You work for it. And so should they, up to a degree.

Parents provide clothing, shelter, food and other necessities through age 18, and even them some of them are funded less than others as children age. What teen wants their parents picking out their clothes for them at the store?

Be earning money with chores or at a part-time job, kids can learn the value of a dollar and can find out first-hand how many hours of work it takes to afford that pricey pair of pants they want.

Not setting up a bank account for them

If your kids don’t have a savings account or college savings account by age 5, you’re doing them a disservice. Heck, if you don’t have a savings account or retirement account, you’re doing yourself a disservice and teaching them the poor habit of not saving for the future.

Birthday money and part of an allowance can be put into a child’s savings account. Regular trips to the bank to make those deposits can show them how banks work and why they should save.

As children become teenagers, parents can help teach them about managing money by helping them get an ATM debit card, checking account and possibly a credit card with a low limit.

Not following a budget

Just like the first tip on curbing impulse spending, a parent’s money habits can filter down to their children.

If you and your spouse don’t have regular talks in front of your children, or at least within earshot of them, then you’re doing them a disservice by not talking about how you make money decisions together.

You don’t have to detail every expense in your budget, but they should have a general sense of what you’re budgeting for and why.

If you pay your bills late and constantly complain about how you can’t afford the gas bill each month, you’re setting a poor example of how to deal with basic bills. Show them how you budget for that bill each month and where cuts may have to be made to accommodate for it.

Of all of the parenting “fails” to be made with money, try not to get yourself too down about them. They’re learning opportunities at any age, and even learning them when you have children gives you a chance to correct them and let the next generation learn from your mistakes.

Parenting ‘Fails’ to Teach Kids About Money is a post from: When Life Gives You Lemons. Did you like the post? Follow me on Twitter, like me on Facebook, or hop on over to my blog and leave me your feedback.

Having a baby girl has been a wonderful blessing for us. As we’re settling into her 3rd month, we’re constantly surprised at how quickly she’s growing.

When we found out we were expecting, my husband and I decided that we were going to set aside some money to cover baby expenses.

If you’re in the same boat, I hope this helps you find the right amount for your family.

Why We Saved Up for the Baby

We’ve been comfortable with our emergency fund/savings in general, but we wanted to step it up. We’re now trying to be a bit more conservative -having a full six months of essential expenses tucked away makes us feel a bit more comfortable.

Between diapers, baby gear, and unexpected baby expenses, we wanted some peace of mind knowing that we can cover these bills as they come.

Though we expect some expenses to go decrease (less eating out for example), we want to play it safe and assume in our estimates that we’ll see an overall increase as we get adjusted to being parents.

What Does the Baby Fund Needs to Cover?

What expenses can you expect? Every family is different, but here are some estimates based on what we’ve had and what our friends have shared:

Hospital Bill

While we were pregnant I asked friends, both with insurance and without, how much their hospital bill was for their babies.

For those without, the bill was approximately $10,000-$12,000. For others, it was around a few thousand.

The bill we received from the hospital and our OB/GYN office was $2,500. Our insurance has a higher deductible than some people’s policies, so that’s how it worked out .

We were fortunate that my husband’s job reimbursed our expenses and we were able to get a good discount by paying our medical bills promptly. That saved us significant money.

Diapers

Babies will go through more diapers that you’d expect. Even if you get diapers as gifts (wonderful idea- put that on the top of your baby registry!), you’ll still need quite a few.

The Bump has these estimates when it comes to diapers:

Newborn babies use an average of 75 diapers per week and up to 320 diapers per month.

At about $.25 per diaper, that adds up over the year. Tack on two boxes of wipes per month ($3 each), and baby soap, lotion, powder, oil, and diaper rash ointment (about $14 month) and you have an additional $240 per year.

Cloth diapers will save you money, if you plan to do the laundering, however using a diaper service costs about the same as disposable diapers.

Right now we’re using disposable diapers with our daughter. To save on diapers we’ve joined Amazon Mom and with a diaper subscription, we’re saving 30%.

For us, that means a box of 190+ diapers cost about $20 each month.

You may also want to consider getting cloth diapers. while there is an upfront cost, you can save some significant money using them on your little one.

It seems that there is quite a few options for parents when it comes to cloth diapers, with several ‘big’ brands to choose from like:

• bumGenius
• FuzziBunz
• Happy Heinys
• gDiapers
• Rumparooz.

By the way, you also want to add baby wipes with your estimates.

You don’t need a wipe warmer, but a Diaper Genie is a good ‘extra’ item if you’re finicky about diapers.

Food

Whether you breastfeed or formula feed, please make sure you’re taking care of yourself and eating well. Having a baby keeps you on your toes and you’ll need to be as healthy as you can be.

As for formula, Baby Center estimates that it will cost about $105 a month. Adding solid food for your baby later on will add just a bit more to your monthly grocery bill.

Baby Gear

Babies are wonderful people – it doesn’t take much to keep them safe and happy. If you haven’t received certain things from your registry, hold off on buying them until you need to.

You may find you don’t have to buy as much as people think or a friend might have what you need.

For example, some babies are fans of bouncers and others can’t stand them. My daughter received a beautiful baby swing from a friend whose son didn’t like it at all. It’s like new and my daughter absolutely love it.

Childcare

This varies greatly depending on your choice on type of childcare (stay at home parent, nanny, daycare, etc) and the area you live in.

For my estimates I used BabyCenter’s Baby Cost Calculator:

• Daycare (Moderate): $768/month
• Home Daycare: $568/month
• Nanny (Moderate): $2,600

If you decide to go the stay at home parent route, please sit down and see how it will affect the family’s entire financial picture.

How We Saved for Our Baby Fund

For us automated savings was the main strategy. Whenever we got a windfall such as a tax refund or bonus from work, having an automated deposit or transfer has helped us stay on course.

While we have created some sub-savings accounts at Capital One 360 for specific goals, we decided to keep this in the general savings account.

Thoughts on Savings for a Baby

Whether or not you start a baby fund separate from other savings, the important take away is having savings can help you ease one of the biggest changes in your lives.

For those readers who have been through this before and/or are going through this right now, I’d love to hear your stories.

How much did you save for your baby and how did you do it?

This article by Elle Martinez first appeared on Couple Money and was distributed by the Personal Finance Syndication Network.

Source

How Much Do We Need to Save for a Baby? is a post from: When Life Gives You Lemons. Did you like the post? Follow me on Twitter, like me on Facebook, or hop on over to my blog and leave me your feedback.