This will come as a surprise to nobody — having kids is expensive.
Especially when you consider childcare. A 2016 study found that the majority of Americans spent more than 10% of their household income on child care alone.
It’s difficult. You want the best for your children, but sometimes the best could unknowingly bankrupt you. With prices on the rise and the economy on decline, managing childcare expenses can be a tough road to navigate.
If you have clients with children, you should bring up some options so that they don’t have to spend the big bucks for one week of daycare.
Every state requires employers to provide 12 weeks of unpaid parental leave when your child is born. Only California, New Jersey, Rhode Island, and New York currently offer paid family leave.
Encourage clients to use what they have for as long as possible. They’ll get the time with their child and save a little.
Another possibility is to speak to employers about the possibility of flex scheduling.
More and more parents across the U.S. are turning to flex scheduling, so that one parent is able to watch their children while working from home.
Some companies offer a Flexible Spending Account (FSA), which allows parents to set aside pretax dollars for childcare expenses.
This money can be used for a wide variety of child care expenditures, including daycare facilities, nannies, babysitters, and even summer camp programs.
Some employers also offer dependent care benefits, which are just another form of flexible spending accounts.
Encourage clients to do their research and compare prices and reviews from other parents. Some daycares offer discounts for military families or for placing more than one child at the facility.
If you have clients that are younger and newly married, ask them about their family plans for the future.
If they want kids, it may be a good idea to start saving for childcare now. Opening a savings account just for childcare could be the little bit of planning that makes things much more manageable.
If you don’t have family nearby that can help out, look at hiring a responsible college student or au pair.
You may spend some time interviewing to find the best fit for your family, but the savings could be big. An in-home sitter would make for a more comfortable situation, as your children would spend more time at home.
What it all boils down to is a good plan. Encourage your clients to start discussing their plans for the future, along with their budget and expectations.
Some research and an outlined plan of action can help save your clients stress and money!
Help your clients find that balance between budget and the dreams they have for their little ones.
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