Are you "all systems go" or about to crash and burn? Checking the right boxes is easier than you think.
Whether this is your first or you're already talking about having another baby, there’s a lot to consider with a new child on the way. You’ve probably got the name covered, but the sooner you can check these other items off the list, the better. Whether you're a single parent or teaming up with a partner to tackle these items, now's the time to focus on your financial priorities for what's to come.
Estimated time - 15 minutes
Odds are your company has a parent-friendly program or two in place that was mentioned to you when you got hired, but didn’t make much of an impression at the time. Things like paid leave, unpaid leave, pre-tax child-care flex-spend accounts, etc are about to become more important. Now is the time to dig in and understand them all. You could easily save thousands in just the first year.
Estimated time - 30 minutes
The easiest and likely most cost-effective way to cover your child's healthcare needs is to add them to your existing insurance. Start by calling your current provider or the HR person at your office. Note: This must be done within 30 days of your child’s birth, but can be done well in advance of their arrival.
Estimated time - 10 minutes
It would be easy to put this one off indefinitely. Before a baby arrives, things are much simpler. With a child in the picture though the stakes are higher if you and/or your partner unexpectedly pass away. Without a will in place your child could become a ward of the state or thrust upon a relative who, although they are related, may not be the best person for the job. Fabric can help you create a document in less than 10 minutes, which you can make legally binding (in most states) by printing, signing and getting two people to witness.
Estimated time - 5 minutes
Now that someone is depending on you, life insurance is an easy and affordable way to help ensure your family's financial security. Getting covered used to mean talking to an agent and waiting weeks. These days, Fabric makes it easy, letting you sign up for a term life insurance policy online, without needing to speak to an agent.
Estimated time - 60 minutes
Lots of things are about to change. Without a plan to follow, you could easily fall off track without even knowing it. In addition to all of the things you currently spend money on (rent, utilities, food, cell phone, clothing, entertainment, etc.), make sure your budget includes new lines for childcare, diapers, food and toys. And don't forget to prioritize your relationship even after baby comes (and account for those costs, too).
Estimated time - 20 minutes
College is probably the single most intimidating financial hurdle for many new parents. But it doesn’t have to be. Choose a state-sponsored 529 account. For example, putting away $125 per month and, assuming a 5-7% annual rate of return, you should have roughly enough to pay for a quarter of their education outright, assuming the cost for 4 years of tuition and fees at a private institution is $32,000 annually. Savingforcollege.com can help you find a plan that’s good for you in minutes.
Once you've taken care of the financial to-dos, you can get onto what really matters—those amazing moments with your little one.
Fabric exists to help young families master their money. Our articles abide by strict editorial standards.
This material is designed to provide general information on the subjects covered. It is not, however, intended to provide specific financial advice or to serve as the basis for any decisions. Fabric Insurance Agency, LLC offers a mobile experience for people on-the-go who want an easy and fast way to purchase life insurance.
The pandemic and economic challenges mean some families have exhausted their emergency cash. Here’s how to prepare for (and deal with) the worst.
No time + needing to look after the ones you love = a quarterly checklist to help keep you on track, so you can get back to wiping boogers and giving snuggles.
Blame participation trophies or the fact that many millennials entered the job market around the time the Great Recession hit, but millennials sometimes have a hard time shaking a reputation for being stuck in extended adolescence. The truth is, the generation that coined “adulting” as a verb has been grown up for a while now. Most millennials have already seen our 10-year college reunion come and go, or we may face the shock of hearing we’re experiencing a “geriatric” pregnancy (at 35, really?). As your life grows to include more responsibilities and loved ones who depend on you, it’s time to consider whether life insurance might be the right next step.
Top signs of “adulting” include saving money, doing taxes, and signing up for life insurance, according to Fabric’s new research. Read on for more surprising insights.
Accidental Death Insurance policies (Form VL-ADH1 with state variations where applicable) and Term Life Insurance policies (Form ICC16-VLT, ICC19-VLT2, and CMP 0501 with state variations where applicable) are issued by Vantis Life Insurance Company (Vantis Life), Windsor, CT (all states except NY), and by The Penn Insurance and Annuity Company of New York (NY only). Coverage may not be available in all states. Issuance of coverage for Term Life Insurance is subject to underwriting review and approval. Please see a copy of the policy for the full terms, conditions and exclusions. Policy obligations are the sole responsibility of Vantis Life.
All sample pricing is based on a 25-year old F in Excellent health for the coverage amount shown. All samples are for a 10-year term policy, unless otherwise stated. Term Life Insurance policies (Form ICC16-VLT, ICC19-VLT2, and CMP 0501 with state variations where applicable) are issued by Vantis Life Insurance Company (Vantis Life), Windsor, CT. Coverage may not be available in all states. Issuance of coverage for Term Life Insurance is subject to underwriting review and approval. Please see a copy of the policy for the full terms, conditions and exclusions. Policy obligations are the sole responsibility of Vantis Life.
A.M. Best uses letter grades ranging from A++, the highest, to F, companies in liquidation. Vantis Life’s A+ (Superior) rating, which was reaffirmed in April 2020, ranks the second highest out of 16 rankings. An insurer’s financial strength rating represents an opinion by the issuing agency regarding the ability of an insurance company to meet its financial obligations to its policyholders and contract holders and not a statement of fact or recommendation to purchase, sell or hold any security, policy or contract. These ratings do not imply approval of our products and do not reflect any indication of their performance. For more information about a particular rating or rating agency, please visit the website of the relevant agency.
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