SoFi Blog

Having a child is one of the biggest decisions a couple can make. The second largest decision? Choosing which child care is right for their family. With all the options out there, settling on just one can be a challenge, as every family’s situation and needs are different.

On top of that, in my 10 years of helping new parents financially plan their families, child care also tends to be the second largest monthly expense, after housing. And contrary to what you might think, it’s not an expense that some parents can choose not to budget for. Even if you have one stay-at-home parent, you’ll still need to pay for some babysitting and child care, as it’s wan important part of maintaining a healthy relationship with a partner—not to mention provides a necessary mental break for both.

Starting a family, or even starting to think about it, is an incredible stage in life. But it can also be overwhelming. You might be thinking about the hard questions: What will your life be like with a newborn? What will you and your partner be like as parents? Should you move closer to family?

Other than your love life, finance might just be the last topic you’d ever want to discuss with your parents. Not only could it potentially open you up to unnecessary and unwanted criticism (ahem, like comments about avocado toast), but financial advice from a baby boomer can sometimes feel a little irrelevant. The financial climate has changed considerably since your parents were in their 20s or 30s. The cost of higher education has gone up 1,120% in 30 years, and millennials (i.e., you) are carrying majority of the $1.2 trillion in student loans Americans currently owe and are paying back.