27 Tips to Save Money When You Have a Baby

Having your first baby is such an exciting time, but it can be stressful.

You have no idea what to expect. You’re about to be responsible for a whole human and don’t want to mess up.

Plus, everyone keeps talking about how expensive babies are.

I know how you feel. I remember feeling the same way when Mr. TMG and I were expecting Little TMG back in 2016.

Babies aren’t nearly as expensive as reports make them out to be. Don’t get me wrong—you’re going to spend more. But there are ways to save money when you have a baby, too.

Babies Cost HOW MUCH?!

Various reports estimate the cost of raising a baby through the first year of life from as low as $12,000 to as high as $50,000.

Below is a chart from NerdWallet with estimated costs for a baby’s first year for two hypothetical households at different income levels.

Let’s break these down a bit.

Housing and Transportation

These costs are outright laughable. Housing? Transportation? The presence of a baby doesn’t increase these costs by any significant degree.

Life Insurance, Health Insurance, and College Savings

These costs aren’t in the ridiculous category but could be much lower, depending on your insurance plans and the amount you decide to set aside for college.

By the way, if you have debt, I recommend you pay it off before saving any meaningful amount for college. We save $200 a month for Little TMG and plan to do the same for Baby TMG when he’s born. Once we finish paying off Mr. TMG’s student loans, we’ll bump it up.

Healthcare

The out-of-pocket healthcare cost estimate is quite a bit lower than I’d expect. We spent at least double that, including the medical bills from Little TMG’s delivery.

Childcare

This is one of the areas you’ll likely spend the most on, unless you plan to stay home with baby or are fortunate enough to have someone watch him or her for free. 

We spent about $1,200/month on daycare when Little TMG was an infant. This cost could be lower if you live in a smaller city. I could even see it being as high as the second NerdWallet family if you live in a larger, more expensive city, like New York or LA. Thankfully, the cost decreases as baby gets older.

Remaining Expenses

The remaining expenses (food and miscellaneous items, such as diapers and baby gear) are areas that you have more control over and where most people go overboard. You can save lots of money here if you make the right choices.

How to Save Money When You Have a Baby

Avoid having your bank account hate you by considering these tips to save money when you have a baby.

Food Before 6 Months

For the first 6 months, babies survive exclusively on milk. Below are some tips to help you save on costs early on.

1. Breastfeed, if you can, for as long as you can. Breastfeeding is best for baby, and it’s significantly less expensive than formula.

2. Ask your OB about a prescription for a breast pump. My OB gave me a prescription for a pump when I was pregnant with Little TMG, and it was completely free. I also just received a prescription for a new pump at my most recent appointment for Baby TMG.

3. If you can’t get your own breast pump for free, borrow one. The pump itself is perfectly fine to share. You shouldn’t share the plastic attachments, though. You can buy new attachments for significantly less than a whole pump system.

4. Find free breastfeeding help, if you’re having trouble. My hospital has lactation consultants and offers a free nursing hotline. There are also organizations, such as La Leche League, that offer support, including in-person meetings where attendees can ask questions. Your hospital may have info about support groups in your area.

5. Ask for formula samples and coupons. You may not be able to breastfeed, and that’s okay. Before you leave the hospital, ask if there are any formula samples or coupons available. Same with your pediatrician visits. Many healthcare providers receive these items from manufacturers but may not be thinking about them during your visit. It never hurts to ask.

6. If you use formula, buy the generic brand powder. It may take a little longer to mix, but powder formula is cheaper than ready-made formula. Plus, the generic brand formulas must comply with the same federal regulations as name brands, so there’s no real difference.

7. Don’t buy a whole stash of bottles at first. Even if you nurse, you’ll still want bottles for when someone else is watching baby. Get a couple bottles from the brand you think you want to use, and try them out at some point before someone else babysits. Hopefully, your baby takes them just fine. However, you may find that he or she refuses the brand you chose, and you’ll have to try a different one.

Food at 6 Months and Beyond

At around 6 months, you can start introducing solids. Baby food doesn’t have to be as expensive as you think.

8. Make your own baby food. When Little TMG was ready for solids, we just made extra of whatever we were having for dinner—peas, green beans, chicken, etc.—and blended some up (without seasoning) for him. We put extra in ice trays to store it for longer and put the cubes in small storage containers like these to heat up when he was ready to eat.

9. Don’t buy a Baby Bullet to make your baby food. Baby product manufacturers will prey. on. you. Don’t fall for it. You probably already have a blender and/or food processor. These will work perfectly fine.

10. Remember that baby can eat foods that aren’t branded as baby food. We didn’t make all of Little TMG’s food. We bought the baby food version of foods we don’t eat a lot of ourselves. Guys, we bought Gerber apples. *shame* When we were feeding it to him, I was thinking how much it reminded me of applesauce. Sure enough when we compared the ingredients in Gerber apples to regular unsweetened applesauce, they were the same, and Gerber was about 4x as expensive as the regular applesauce. (Remember when I said these baby product manufacturers prey on you?) Guess what Little TMG has been eating ever since.

Clothes

I don’t know what kind of Gucci/Chanel/[insert luxury brand here] baby clothes the second NerdWallet family bought, but you can definitely save money on clothes when you have a baby.

11. Borrow from friends and family who are already parents. Let me tell you something: babies grow like weeds. If you have any friends who already have kids, they likely have baby clothes that have barely been worn. There are things Little TMG never got to wear before he outgrew them. Ask friends, family, and co-workers if they have any baby clothes you can borrow.

12. Don’t pay full price. If you do end up buying, buy from discount and consignment stores. We bought a lot of clothes for Little TMG on ThredUp. You can often find brand new infant clothes with the tags still on. We also rediscovered Burlington. Similar stores like TJ Maxx and Marshall’s likely have similar pricing. We get way more bang for our buck and aren’t as concerned when he outgrows the clothes 5 minutes later.

13. Skip the shoes. Babies don’t need shoes until they start walking. Even then, it’s questionable, but many daycare facilities require babies to wear shoes once they start walking. Socks are more than enough to keep their feet warm until then.

14. Don’t buy baby clothes too far in advance. See #11. You don’t want to buy something this season only to realize you wasted your money because it doesn’t fit next year.

15. If you may want another kid, get clothes that are unisex. This one is about saving money on the next baby, but I’m trying to save you from yourself here. A lot of people make the mistake of going overboard on the super girly or boy-ish clothes with baby #1 and then have the opposite sex the second time around.

Gear

Seriously, you don’t have to spend that much on your baby’s stuff.

16. Borrow from friends and family. No shame in this game at all. In addition to baby clothes, your friends and family may still have other baby items that they haven’t gotten rid of yet. One of our friends gave us her kid’s Fisher Price Rock N Play, which Little TMG loved to sleep in. A work colleague gave us a bunch of swaddle blankets that her kids no longer needed.

17. Watch out for gimmick items. Looking at you, Baby Bullet. I’d also put things like wipe warmers and bottle warmers here. These aren’t necessary, and baby will be fine without them. Also, think about making things easier on yourself. If you’re out and about, chances are you’re not bringing the wipe warmer with you, even if baby is used to warm wipes on his butt.

18. Use cloth diapers. Babies go through a LOT of diapers. Using cloth diapers can help you save because you simply wash them, rather than having to buy new ones. Just be sure to think about the convenience factor. We decided against cloth diapers for Little TMG because of the inconvenience and won’t be using them for Baby TMG either. One of my friends used cloth diapers with her first but decided to go disposable with her second to save herself some time. It all depends on what works for you and your family.

19. Buy a pack n play with a bassinet attachment. Rather than buying a bassinet, get a pack n play. Many of them come with a bassinet attachment that baby can sleep in early on. Plus, the pack n play is a safe place to park baby while you’re doing something else, especially as he or she becomes mobile. It’s also a great place for baby to sleep when you travel.

20. Don’t buy a separate changing table. This is another piece that’s not necessary. You can put a changing pad on top of baby’s dresser. Some dressers even have a frame-like attachment you can attach to the top to hold the changing pad in place.

21. Get a convertible crib. This one will pay off down the road, but a crib that converts into a toddler bed will save you money as baby grows.

22. Skip crib decorations, such as pillows, comforters, and bumpers. Although these may look cute, they’re a SIDS risk, and you’re going to end up having to take them out once baby is ready to sleep in the crib.

23. Get a convertible booster seat. Instead of a high chair, we used this convertible seat from Ingenuity. It comes with a tray, and we sat it on the kitchen counter when Little TMG was first sitting up and learning to eat solids. As he’s grown, we’ve been able to use it as a booster seat for him at the dining table because it comes with straps to attach it to your dining chairs.

24. Don’t buy a bunch of toys. First, if your family and friends are anything like ours, they’ll have you more than covered in this department. Second, baby will probably have more fun with regular household items. Little TMG’s favorite “toys” were an empty water bottle and empty paper towel rolls.

25. Don’t buy an ear thermometer. Ear thermometers have all the bells and whistles these days but aren’t as accurate as a rectal thermometer. Plus, the rectal thermometer is much cheaper.

Bonus Tips

26. Don’t assume everything at the hospital is included in the cost of your stay. At my hospital, we were able to take home all the extra items for Little TMG, such as diapers and pacifiers, and even the toiletries provided for me because they were included in the cost. Those huge water bottles they provided for me during labor and recovery, though? Not included. Those cost me an extra $50—I took both assuming they were included in the cost I had already paid smh. Different hospitals probably handle this differently, so be sure to ask before you assume like I did.

27. Don’t buy life insurance for your baby. While I highly recommend life insurance for parents, baby life insurance is a gimmick. Life insurance is meant to replace your income for someone who depends on it. There is no need to buy life insurance on a baby, despite what Gerber tells you on those infomercials.

You Got This

Having a baby is an amazing experience. I never knew I could love anyone as much as I love my little one.

Many baby product manufacturers prey on the fears and anxieties of new parents who just want to take good care of their babies.

At the end of the day, all your baby needs is love and basic necessities. Those don’t require nearly as much money as those companies would have you believe.

Don’t worry. You’ll do great! Good luck!

Do you think you’ll try any of these tips? Any other money-saving tips to add to the list?