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Article: Money Guide for New Dads

As a new dad, you'll no doubt be facing a whole range of new responsibilities (and emotions). But amongst the many changes you'll have to make to your lifestyle for the family's new addition, you'll have to think about the financial changes you'll need to make too.

In the current climate, with rising bills and living costs putting pressure on so many people's budgets, reviewing your finances now you're a father can be just as important as changing nappies and making bottles.

Here's a handy guide for new dads looking to get the most out of their money.

Make a new 'baby-friendly' budget

Of course, now you've got a little one to provide for, the way you manage your monthly budget will have to change to meet all your new costs.

• Work out your income. As a parent, you may be entitled to Childcare Vouchers and Government-provided benefits such as Child Tax Credits, which could give you an additional income boost on top of your salary and any other benefits you may receive. For example, every parent - regardless of income or savings - is entitled to Child Benefit, which amounts to £20.30 per week for your first or only child, plus £13.40 each week for any additional children.
• Calculate your outgoings. On top of all your usual essential monthly expenses - rent/mortgage, utility bills, food, telephone, etc. - you'll also have a new set of expenses to budget for. Nappies, milk, clothes, baby food, toys, dummies: it's important to work out all the essentials you'll need to buy every month for your new son or daughter and account for them in your budget.
• If you subtract everything you need to spend per month from everything you earn, whatever amount you're left with is your 'disposable income'. You can spend this how you wish: whether it goes into savings for your child's education, an 'emergency savings pot' for any unexpected costs you may face, or for the odd treat for yourself - and as a busy new dad, it's likely you'll deserve it!

Find ways of cutting costs

From babygros to a new cot, the cost of kitting out your little one can seem daunting. However, there are many ways you could cut back on spending and make your money go further.

You could think about:

• Seeing if any friends or family members with children have any old, well-kept clothes, books or toys you could have - kids outgrow items at a rapid rate, so try saving yourself some money by recycling whatever you can.
• Shopping for items online: auction sites and internet retailers often offer discounts on products that could knocks pounds off your bill. Also look out for 'used and new' options that can cut an item's recommended retail price
  (RRP) by a fair amount.
• Taking advantage of money-off vouchers and coupons. Look in magazines or online for discounts, and keep an eye out for loyalty schemes and 'BOGOF' offers at your local supermarket.

Following simple steps like these could make all the difference when it comes to taking care of your money. Being a new dad may not always be simple, but even if your new baby is keeping you awake at night, your finances needn't do the same!

You can find more money savings tips and advice on the Think Money website.