Baby Balance Sheet: A Family of 3 Living in Chico, California, on $70,000

The question of when to have a baby can be complicated. You might be emotionally ready to have kids but feeling like you’re not financially secure enough. Or you might be busy growing your career and worry it’s not the right time to conceive. You might even have a savings goal you’re working toward. It’s a little different for every family.

But arguably there’s no perfect moment. And as the couple in today’s Baby Balance Sheet shows, sometimes you just have to go for it. Luckily, they do have a lot of family support, which allows them to work and attend school full-time while not paying for full-time child care.

It’s hard to imagine juggling law school and a new baby, but as this 26-year-old new mom shares, she’s leaning into this hectic and joyful time.

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About me: I am in my last year of law school, and my husband is in his last year of studying for his bachelor’s degree. We both work full-time and go to school in the evenings. We moved back to my hometown after I graduated college to be close to our families, and they help with child care. While I don’t have a lot of free time, I do love to read.

Age: 26

How old is your child: 8 months

Where do you live? Chico, California

What is your family’s household income? $70,000

Did you have a savings goal before your baby arrived or are you working toward one now? Our original plan was to wait to have a baby until I finished law school and my husband got his bachelor’s degree. It made more practical sense. But we really wanted a baby, and we decided that there’s no perfect timing. People make it work all the time, with less than we have, and their children thrive.

We didn’t tell anyone we were trying, so last March, when I was about six weeks along, we got to completely surprise our families.

Our original savings goal was around $5,000. We ended up having about $3,000 in the bank when our daughter was born because we had to move unexpectedly and deal with some car repairs. In general, I’d say we live just above paycheck-to-paycheck. We generally have anywhere between $3,000 and $6,000 in the bank at any given time.

What kinds of financial tools (or tricks!) are you using to help reach your savings goals? We use a budgeting app and a spreadsheet. We share all our financial accounts, and we have weekly budget meetings to check in.

Are you setting up any savings accounts for your baby—like a 529, custodial account or something else? If yes, what kind of account(s) are you using? We set up a 529 when she was born, and we’ve opened a Trump Account to take advantage of the $1,000 seed money. We’re not funding either account right now as most of our money is going to pay for our own schooling, but we plan to in the future.

If you’re setting up a savings account for your baby, are you hoping friends or family might contribute to it too? We’ve asked friends and families to prioritize giving to our daughter’s 529 during the first five years of her life instead of giving her gifts at birthdays and Christmas. She hasn’t turned one yet, but our family honored that request for the most part at her first Christmas. People still buy her things here and there—particularly her Mimi and Gigi—and we’re not sticklers about how other people want to spend their money on her (as long as the toys are safe). But my brother and sister-in-law have told me they are committed to just giving to her 529 and, as she gets older, giving her experiences.

When it comes to money, what part of having a baby (or raising a kid) feels most stressful? (Healthcare costs? Unpaid leave? Child care? College? Something else?) The most stressful thing is focusing on saving for the life I want her to have. I want her to go on trips and have help with college. I’m trying to be disciplined now for a better future. I definitely like to shop (I’d say it’s a hobby), and my husband is the one who manages the finances. I’ve found that shorter-term goals help motivate me. I also think about tradeoffs. If I skip buying this $10 toy now, I can buy a better car seat in the future.

Are you receiving (or will you receive) any family help for paying for baby expenses? Our families help watch our daughter, so we don’t have to pay for child care. It’s saving us so much money. My husband’s family takes her two days a week, and my family takes her two days a week. And I take Fridays off to be home with her.

We are so blessed to have so much help from family with our child care. Without it, I don’t think we could have done this. Everyone we love has really come together to support us and help us get through school.

Can you share how much you spent on your baby/children in the last month? Break down an itemized list which includes childcare costs, food and formula expenses, and the amount you spend on diapers, wipes, clothes, etc. Plus any contributions to 529 and/or other savings accounts.

We don’t contribute to a 529 right now while we are still finishing school. Once we finish school and pay off student loans, we will make that a regular thing.

We also don’t have to buy formula because I breastfeed, and she just started solids.

Swim lessons: $100

Huckleberry subscription: $12

Groceries: $90

Toys: $65

Clothes: $30

Diapers and wipes: $85

Baby gate: $60*

New car seat: $434*

*These were one-time expenses we had this month

How much do you discuss the cost of raising a baby with your partner? We talk about the day-to-day expenses of her food, diapers, wipes, etc., very often. She is by far our biggest expense in lots of great ways. We have her enrolled in swim classes so she can get accustomed to the water. We prefer to use an overnight diaper that is slightly more expensive, so she doesn’t have leaks at night.

We always asking each other if it’s #worthit? I know that hashtag is outdated, but it’s helpful for us. We’ll ask, “Hey, do you feel like spending $40 to eat out tonight is #worthit, or would you rather go home and eat at home?” It’s a way for us to check in regularly about our spending.

Babylist Money is here to help you feel confident managing your family finances, whether you want to encourage friends and family to contribute to your baby’s 529 account, understand how Trump Accounts work, or make sure you’re checking all the important money tasks off your to-do list.