Everything you must consider when planning to have a baby

There is excitement galore when you plan to have your first child or await their arrival! But if you don’t prepare financially, this exciting life stage can significantly impact your budget.

Our suggestion to new parents is to set up a holistic financial plan as soon as they know the baby is on the way. This plan should cover everything from the new list of expenses (have you seen the prices of prams lately?) and critical events. Ideally, you should consult the following people when drawing up this plan: Your partner, employer, medical aid provider, and financial advisor.

So, how do you prepare for your baby (financially and otherwise)? Have a look at our list below:

Before falling pregnant

It’s best to prepare before falling pregnant by ensuring your medical aid will cover the care you want from pregnancy to after birth. If you need to move medical aids, it’s always best to do it before falling pregnant. Also, consider products like gap cover. You’ll thank us later!

During pregnancy

First trimester

  1. Find a gynaecologist or midwife that is mostly covered by your medical aid and that you are comfortable with. These providers’ prices vary, so it’s worth shopping around as most medical aids won’t cover all your visits.
  2. Save for the big items like your pram, cot, car seat, and even nappies! Buying second-hand goods can save you a lot of money for certain items.
  3. If you haven’t started already, your doctor may recommend that you begin taking pregnancy vitamins or supplements. These can cost anything from R300 per month, so remember to add them to your financial plan.

Second trimester

  1. Babies don’t need as much stuff as we think they do! Consider everything you want to get and buy the essentials first. The non-essentials can wait (you might even find you don’t need them at all). Speak to friends, family, and other parents for tips on products they used and trends to rather avoid.
  2. Have a discussion with your HR managers to fully understand your maternity and paternity benefits.
  3. Get ready to claim for UIF. It’s worth it! Depending on your company, you might only receive a part of your gross salary for four months maximum. These days, there are agencies that can help you claim your UIF, so ask your friends or family for their recommendations.

Third trimester

  1. If you (or your family) can’t afford or don’t want to host an expensive and lavish baby shower, consider a digital or drive-by baby shower for just the essential baby items.
  2. Keep receipts for exchanges. Most stores will exchange baby items, including unused nappies, if you want a smaller or bigger size.
  3. Get pre-approval from your medical aid for the birth and confirm how long you can stay in the hospital and what is included and excluded.


  1. Create a clear birth plan and share it with your gynaecologist or midwife, the hospital, and your partner. It’s worth considering all possible scenarios and the costs attached to them. For example, a C-section usually costs more than natural birth and specialists like gynaecologists, anaesthetists, and paediatricians typically charge more than medical aid rates. Things don’t always go as planned, but you’ll be better prepared emotionally and financially when you have considered all the options.
  2. If you don’t have medical aid or insurance, you will have to save a hefty sum of money to give birth at a private hospital. Hospital bills can amount to hundreds of thousands, even millions. Again, consider all possible costs, including things like jaundice treatment or unforeseen medical emergencies.
  3. Pack a simple baby bag, as most hospitals supply nappies and clothes for your baby. If you’re unsure what to pack, ask the hospital beforehand what they provide.

Your baby is here!

  1. As you adjust to your new routine, try to soak up all the newborn cuteness. They’re brand-new for only a little while.
  2. Ensure you have enough help during the first weeks, and don’t be afraid to say no to visitors if you don’t feel up to it.
  3. Keep an eye on your physical and emotional well-being to notice things like baby blues or postpartum depression.

In the same way your baby will be born, you as their parent will also be born! You’ll be a different person than before, and your circumstances will also change – that’s okay. The great news is that when you have a proper financial plan in place, you can enjoy and embrace the new season fully!

mCubed is an expert independent fund administrator, and with us on your side, you can prepare for every season of life, including retirement. Members, clients, and participating employers of our retirement funds have access to the best investment administration and advice, excellent service, and complete transparency for the best long-term results. Our fund-appointed FAIS accredited financial advisors help you to enjoy a safe, financially sound, and prosperous retirement.