family finance
If you're used to having two incomes, the idea of losing one when you go on maternity leave can seem a little daunting. While you will need to give some serious thought to how you will handle your finances once there's only one wage earner, many couples find that new parenthood doesn't necessarily lead to a life of doing without.
Budget
Before you stop working, sit down and work out just how much money you spend getting yourself ready to face the professional world. Add up your work clothes, stockings, train fares or parking, bought cappuccinos, lunches and drinks after work. You may find that you have been spending more than you expect just getting yourself into the office every day, so while you'll be giving up your salary, you will also be saving yourself all those expenses.
Maternity leave entitlements
Make sure you know exactly what you're entitled to be paid when you go on maternity leave. Around 39% of Australian women are entitled to an average of seven weeks paid maternity leave. Find out if you can also take long-service or annual leave at the same time, to help bolster your paid leave.
If budgeting isn't your strong suit, find out if your employer will pay you over a longer period. Many employers will pay maternity leave over 3 or six months at half pay, meaning that you're not taking a big the financial hit all at once.
The Federal government also has a raft of entitlements for new Mums. While the names of the schemes keep changing, the very generous payments for new parents will certainly take the edge off financial insecurity. Check whether you what you will be entitled to by visiting the Family Assistance Office website www.familyassist.gov.au and factor that into your budgeting.
Food
Now that you'll be spending more time at home, it's possible to cut back on the amount of money you spend eating out. Plan some yummy lunch options you can make yourself and try to have them on-hand for those precious moments when the baby is asleep. It will also help to get into the habit of making your own lunch if you start while you're still working - stash away the money to save on bought lunches to splurge on a massage or a pedicure when you're on maternity leave.
Another great thing about spending more time in the house is being able to prepare meals that take longer to cook - but don't take extra effort or money to prepare. Rather than coming home exhausted at the end of the day and grilling a steak, you can eat cheaper cuts of meat if you casserole them for a few hours. So instead of rump steak, you can eat chuck steak which has been slow cooking while you're in the house, saving money without missing out on a great meal.
Entertainment
If you're used to spending your weekend nights at the movies or eating in restaurants, you might be dreading the time when you have neither the money nor the inclination to go out on the town anymore. Planning for some great nights in could take the edge off being stir-crazy with a new baby. Make a list of the movie classics you and your partner have never seen and work through the list on your lazy Friday nights.
Alternatively, ask your friends without children to give you babysitting promises instead of baby shower gifts, or link up with other Mums in your mothers groups to swap babysitting nights on a regular basis. Getting out for a meal without having to pay a babysitter can sometimes be the difference between tearing out your hair and having a great week!
If you are interested in finance why not read our weekly Money Mummy blog or participate in the Managing Money forums.
