Saving money is something that everyone wants to do, but there are some pitfalls to saving that can actually cost you. Many of these mistakes are the result of trying to save money fast, or ignoring that the best way to save sometimes involves spending to avoid a big expense later.

Here are nine money-saving mistakes to avoid:

Mistake #1: Buying too much at the dollar store

Dollar store purchases can turn out to be money wasters, not money savers. While the price may seem cheap, some items may be expired or even unsafe. Shoddy goods can damage your home, cause a fire, or simply break easily. Carefully check any dollar store purchases to ensure that the item is not expired and seems sturdy.

Mistake #2: Fast food

While eating fast food is certainly cheaper than most other dining out options, you pay for a fast food habit in the long run with an increased risk for obesity and illness related to a high fat diet. While most people will eventually face medical costs, medical expenses for those with obesity are significantly higher than for people of a healthy weight.

Mistake #3: The buy-one, get-one deal and other promotions

Businesses sponsor promotions for only one reason: to get you to buy their products. Keep that in mind when considering promotional offers. Promotions or discounts on items that you would not ordinarily buy or use will probably cost you money, not save money. Especially avoid promotions that require signing up for an ongoing charge or membership fee after a promotional period ends. Most people forget to cancel their memberships after the trial period ends.

Mistake #4: Buying in bulk

Many people try to save money by buying in bulk at a warehouse store like Costco or Sam’s Club. While buying in bulk can mean that the per unit cost is less, you really only save money if you are going to use all of the product. If you do not eat all 10 pounds of potatoes before they spoil, you likely spent more money per potato that you ate than if you had bought your potatoes at the grocery store. Worse, warehouse stores encourage impulse buys of unneeded items along with bulk purchases.

Mistake #5: Too much do-it-yourself

In some areas, an inexperienced person can make drastic mistakes that end up costing a lot of money to fix. For example, avoid doing your own estate planning or plumbing unless you have some understanding of the field. In other areas, businesses are so efficient that there is not much to be gained by doing it yourself. After purchasing your own oil and oil filter, you may end up spending just as much as if you had paid a quick oil change place to do the job, for example.

Mistake #6: Cutting small out-of-pocket expense, but forgetting big expenses

For most people, their biggest expenses are their regular bills. However, when it comes to cutting costs, regular bills are often the last place they look. For example, it would take a great deal of coupon cutting to equal scaling back the cable bill by $20 a month.

Mistake #7: Leasing cars

A car’s lease payment may be less than the monthly payment on purchasing it, but that doesn’t mean you are saving money. In general, leasing is the most expensive way to own a car because after making three years of payments, you have nothing to show for it. On the flip side, after finishing with your last car payment after buying a car, you still own the car, which you can either resell or continue to drive.

Mistake #8: Skimping on important car maintenance

If you own a car, skimping on your car’s regular maintenance will end up costing you in the long run. By all means, use the cheapest oil change you can find, but don’t skip your oil change all together. Don’t avoid buying new tires when it’s necessary either, as bald tires are dangerous and can cause you to lose control of your car.

Mistake #9: Buying secondhand

While buying used goods is often a good way to save money, a lower price is never a better option if you can’t properly assess the conditions of the item. Purchasing a used car that has been inspected by a professional is a good idea, but buying secondhand items off of craigslist that have no way of being verified for quality is a bad idea. When buying secondhand, go through a reputable dealer, or make sure there’s a way to verify the quality.

When many people try to find how to save money each month they often end up finding little ways to save here and there. Don’t get us wrong, saving small amounts of money is good, but the smartest thing to do is to look for the big savings first. If you focus on the biggest savings first, you should be able to save thousands of dollars per year and begin to really get ahead. After you’ve learned how to benefit from the biggest saving tips, you can then move on to the smaller ones and see if you can add more to your savings as you progress.

The biggest savings can be found by looking at saving money on your groceries, car, credit and home. Our list is by no means complete, but these are some big places to begin saving your money.

1. Avoid Impulsive Spending

Most families probably spend at least a couple thousand dollars a year on things that they don’t plan to buy. There are two easy ways to reduce these impulse buys and save thousands:

• Stick to your grocery list

  Research from the University of Pennsylvania shows that people who can avoid impulse spending can save up to 23% on their grocery bills. So create a grocery list and stick to it if you really want to save some money. According to what Statistics Canada reports most Canadians spend on food, a family of four could potentially save over $2,600 by following this one tip.

• Don’t shop with plastic

  According to a study by Dunn & Bradstreet, people who shop with credit cards pay 12% to 18% more than those who shop with cash. The study further revealed that people tend to spend almost twice as much on vending machines when they use a credit card rather than cash. McDonald’s has also found that their average customer spends $7 on food when they use a credit card compared to $4.50 when they only use cash (a 56% increase in spending).

  Shopping with $40 in your wallet is a lot different than shopping with a $10,000 credit limit on a piece of plastic. Try shopping with only cash or your debit card if you want to save some money. Following this one tip alone can save the average Canadian household well over $3,000 a year if they are used to putting everything on credit.

  2. Take a Lunch to Work and Save $1,800

  Most of us don’t realize how much we spend on simple things like lunch buying a lunch everyday rather than bringing one prepared at home. Many people save a lot of money by always making more dinner than they need and then taking some of the leftovers to work the next day for lunch. If this doesn’t appeal to you, you can make something else. What ever you do, it should be much cheaper than buying a lunch every day. If you buy lunch for $7 every working day of the year, you will end up spending over $1,800. You can decide how much of this you want to put back in your pocket, or you can look for another place to save.

3. Stockpile Groceries and then Skip a Grocery Shop

You can save almost 25% on the groceries you buy each year if you stock up when they are on sale and then skip one grocery shop every month. When you skip a grocery shop, you live off of what you stockpiled. If you can’t do this monthly, then try for once every couple of months. It will still save you a lot of money. You can stockpile all kinds of non-perishable food, and you can freeze bread and meat when you find them on sale.

4. Price Matching

Many Canadians don’t know that you can price match in Canada. This means that you shop at your favorite grocery store, but you check the grocery store flyers in advance and then take the flyers with you to prove to the cashier that a competitor is advertising a lower price. If your favorite grocery store matches competitor’s advertised prices, then you can get those same low prices without having to waste gas driving all over town. You can usually save at least ten percent on your groceries by shopping at a grocery store that price matches competitor’s flyers. This would save a family of four over $1,100 per year.

Bringing flyers with you when you shop to ‘price match’ may not appeal to everyone, but you can give it a try if you want to save some money. The only national store to advertise price matching is Wal-Mart. However, not all Wal-Marts carry groceries. The Real Canadian Superstore does not advertise price matching but they will do it—just check with a manager to be sure. Other grocery stores may also match competitor’s advertised prices, but you will need to speak with a store manager to find out.

5. Buy a Quality Used Vehicle Rather than a New One

In recent years, car manufacturers appear to be building better quality cars than they have before. Because the quality of cars has increased, it means that buying a used car is less risky than it used to be. Consumers still need to be cautious and use publications like Consumer Reports or Phil Edmonston’s Lemon-Aid books to find the highest quality used-cars, but since new cars lose so much value once you drive them off the lot, it now makes more sense then ever to seriously consider buying a quality used-car rather than a new one. Dave Ramsey, a personal finance radio host, drove this point home by telling his listeners that, “A new $28,000 car will lose about $17,000 of value in the first four years you own it. To get the same result, you could toss a $100 bill out the car window once a week.”

Buying a used car rather than a new one can literally save you tens of thousands of dollars in some cases. At the very least, you should be able to save thousands of dollars and still get a great vehicle that may even still be under warranty. You can find a quality used-car by visiting your local library and looking up used car ratings by Consumer Reports or Phil Edmonston’s Lemon-Aid. If this is new to you, your local librarian will probably be happy to show you where they keep these publications.

Once you buy your new vehicle, you can then save more money by keeping it for 15 years. Consumer Reports once conducted a study that showed that a quality vehicle should be able to last for 15 years without any major repairs. If you keep a reliable vehicle with good fuel economy this long, Consumer Reports suggested that will stretch your dollars the furthest. This will also give you plenty of time to save for a new vehicle and hopefully avoid paying interest on a car loan.

6. Appeal Your Property Tax Assessment Value

If your home has decreased in value, check your property assessment value that your property taxes are based on to make sure that your home’s assessment value isn’t higher than its market value. Property assessment values are usually assessed a good amount lower than market values of homes to ensure that they are fair. If you don’t think that your property tax assessment value is reasonable, apply for a reassessment. This can potentially save you a lot of money in taxes. You can also find out your neighbours’ property assessment values from your nearest property assessment office to see if your house is fairly assessed compared to your neighbours’ homes.

While home prices across Canada have held out very well compared with home prices in the United States, some Canadian communities are experiencing declining home prices. If this is happening in your community, you may be able to learn from our neighbours who live south of the border. In the U.S., the National Taxpayers Union estimates that property tax assessment values for 60% of homes are too high, and only 2% of homeowners are taking the time to appeal those higher assessment values. Apparently, most people who are appealing their property assessments are at least partially successful. So if you think that your property’s tax value is too high, try appealing it and save some money.

7. Pay Off Your Credit Cards

If you are carrying a credit card balance of $5,000 at 19% interest, you are paying almost $1,000 a year to your credit card company in interest. An easy way to save a thousand dollars a year would be to pay this debt off. If you are carrying more credit card debt than this, your savings could be huge. Most people don’t really think about how much interest they actually pay on their credit cards, and they rarely think about how many years they have been carrying their credit cards debts for. If you have owed around $5,000 on your credit cards for 5 years and have been paying 19% interest, you will have almost paid the same amount in interest as you owe on your credit cards. This isn’t a smart financial decision.

More Savings Tips That Can Save You Hundreds of Dollars

• Give yourself an allowance and stick with it.
• Don’t carry a lot of cash—or credit cards—in your wallet. Impulse spending is harder if you have to go to the bank machine to get money.
• Whenever you want to make a large purchase, wait for a day or two. Any worthwhile purchase will still be there tomorrow. By sleeping on your decision, you will give yourself more time to think about it and potentially avoid an impulsive decision.
• Save your change. At the end of each day, put your loose change into a jar.
• Instead of buying a coffee every day, make your own. If you spend only $2 on a cup of coffee every working day, that adds up to $500 per year.
• Use coupons. You can request them from most grocery manufacturers. If you do this you can save 10% on your yearly grocery bill.
• Only buy things on sale if you have the money, and only if you were planning on buying the item anyway.
• Try to buy things at the end of the season. Christmas decorations are always on sale after Christmas, and candy is cheap the morning after Halloween. This works for expensive things too. Cars of the previous model go on sale in September when the new models roll in.
• Consider buying products that aren’t brand names at discount stores. The same manufacturers that make name brand products often make the cheaper brands as well. This is true for appliances, electronics, vehicles, clothing and groceries. Buying generic brand names rather than brand names on groceries can save you 25%. Generic brand names can save you money, but they may not be the same quality as brand names.
• Shop on discount days. Some stores like Safeway offer a discount day one a month. Most retailers offer big discounts on Boxing Day each year. Discount days are the perfect time to plan to buy things, or to stock up on things you need if the price is right.
• Shop at discount grocery stores, discount clothing stores, dollar stores and online stores to save lots of money. Shopping at discount grocery stores can save you 10% on your groceries and buying your produce at a produce store can save you 32%. Click here to learn more.
• If you pay off your credit card in full every month and are disciplined in how you use it, you can use your card to collect points and save a lot of money by purchasing flights, gift cards, and other things with your reward points.

If you drive a vehicle, you need car insurance. Regardless of where you live, car insurance is a no-brainer investment that will save you thousands in the long run since it protects you from paying huge sums out-of-pocket in exchange for a relatively small monthly premium. Of course, not all car insurance is created equal, so we’ve compiled a list of the best car insurance companies that offer great coverage at a fair price.

We’ve analyzed reports from J.D. Power, Consumer Reports and A.M. Best to get a view of car insurance companies worth checking out.

Amica: Best Overall Car Insurance Company

Amica was the strongest company overall in our research and received the highest rating in the New England region in J.D. Power’s 2019 customer satisfaction report.

The insurer also received the highest Consumer Reports rating among auto insurance providers — as it has every year since at least 1999. Consumer Reports noted that an overwhelming number of customers reported “relatively few” problems during the claims process.

Pros

• “Platinum Choice” coverage: Amica offers an additional tier of coverage called Platinum Choice, which costs more, but includes identity fraud monitoring, full glass coverage, prestige rental coverage, and rewards for good driving.
• A high J.D. Power satisfaction rating: Amica Mutual ranked as the best car insurance company in the New England region in J.D. Power’s 2019 auto insurance study.
• High financial stability ratings: Amica boasts an A+ (Superior) financial stability rating from A.M. Best, which is the highest rating available.
• No repair facility restrictions: Unlike most every other insurer, Amica has zero restrictions on which body shop you use for repairs.
• Best array of coverage options: Amica offers the most driver and vehicle coverages of all our top recommendations. Its list includes GAP insurance and interior vehicle coverage, which aren’t offered by State Farm, The Hartford, Geico, or USAA.

Cons

• Few online resources: There are a few FAQs on the site, but Amica lacks in-depth online materials to help customers get a complete grasp on their coverage without having to talk to someone. Additionally, some policy changes require direct assistance from an Amica agent, which can be time-consuming.
• Fewer driver discount opportunities: Amica is missing a few key driver discounts, including pre-pay, low-mileage and military discounts. Consequently, it scored only 46 out of 100 in our driver discount evaluation.

State Farm: Best Car Insurance Company for Customer Service and Interaction

State Farm is the largest car insurance company in the nation, per the Insurance Information Institute in 2018. Fortunately, it’s also one of the best — especially when it comes to the customer service experience. In 2019, State Farm received high praise from J.D. Power for its service interaction and claims handling. And of all the insured drivers we surveyed, it received the most positive remarks by far.

It is incredibly easy to get in touch with State Farm. You can call one of the company’s 18,000 agents, go online, or even send a picture of your damaged car with your smartphone using the State Farm mobile app. Compare that to Amica, which doesn’t allow you to connect with an agent via an app, or file a claim through an agent.

State Farm also gets high marks for a pain-free shopping experience that lets prospective customers call their local agent or chat with a representative online if they have any questions.

Pros

• Great financial standing: State Farm has an A.M. Best outlook of stable, and a A++ overall rating — the highest given.
• Superior claims handling: No other insurer makes it easier to file a claim — a fact corroborated by its high service rating, 18,000 agents nationwide and excellent mobile app. Most other auto insurers offer the basic trifecta of phone, app and email to contact agents, but State Farm’s is the easiest to use.
• Best online quote tool: Out of all the competition, State Farm has the simplest online quote tool. In less than five minutes, its tool will guide you completely through the process, replete with thorough examples of coverage options.

Cons

• Lacks a couple of important coverages: Unlike its competitors, State Farm doesn’t offer stacked uninsured motorist or new car replacement coverages. That could be a deal-breaker for someone who lives in a state with a very high rate of uninsured drivers.
• Missing a few common driver discounts: Like Amica, State Farm lacks two extremely common discounts: pay-in-full and automatic-pay discounts. These two discounts don’t save a ton of money, but they are definitely nice options to have.

The Hartford: Best Car Insurance Company for Policy Options

The Hartford is only the nation’s 11th largest insurer, but it still packs a punch. In fact, it had the highest score in our 12-category feature evaluation (92 out of 100).

It also offers a wide range of policy options and benefits, including rates based on how much you actually drive your car and a new car replacement program for cars totaled shortly after purchase. The Hartford was also the only insurer to score a perfect 100 in our vehicle-discount evaluation.

Pros

• Mechanical breakdown coverage: Mechanical breakdown insurance helps cover the cost of repairs that aren’t covered by your car’s warranty. The Hartford is the only one of our top picks that includes this coverage.
• Excellent purchase experience: The Hartford is one of two national providers to receive a perfect “Overall Purchase Experience” score from J.D. Power.
• Useful policy benefits: The company provides not only a solid set of coverages, but also a great selection of policy benefits. For instance, frequent travelers will appreciate The Hartford’s towing and roadside assistance programs.

Cons

• Merely average claims satisfaction: The Hartford received a perfect score in our claims management evaluation, but according to J.D. Power, customers are less impressed- it received a middle-of-the-pack three-star rating for service interaction.
• Fewest online educational resources: The Hartford offers the fewest online learning materials among this field of competitors.

Geico: Best Car Insurance Company for Tech-Savvy Customers

We’ve all seen the ads: The gecko with the charming accent, the cavemen, the “wee” piggy and that camel who loves Wednesdays. Catchy advertising aside, what makes Geico stand out from its competitors?

Like most car insurance companies, they advertises low rates (“15 minutes could save you 15 percent or more on your car insurance”). But what else? According to J.D. Power’s 2019 U.S. Insurance Shopping Study, “The last decade of seemingly non-stop direct-to-consumer advertising and heavy investment into digital self-service technologies have driven roughly one-fourth of auto insurance customers to adopt direct distribution models that bypass agents in favor of do-it-yourself tools.” Geico’s response to this seems to be its very popular mobile app.

Geico is the second-largest car insurance provider in the United States. While they’re considered second-tier by Consumer Reports (listed under parent company Berkshire Hathaway Insurance Group), their customers rate them high in the categories of ease of reaching an agent, promptness of response, agent courtesy, and timely payment Not bad in terms of customer service.

Pros

• Good number of discounts: Geico offers vehicle equipment, driving history and multi-vehicle discounts. It also offers additional savings opportunities for active and retired military (including emergency deployment), and for federal employees (fun fact: Geico is an acronym for Government Employees Insurance Company).
• Superior mobile app: Geico’s mobile app offers the full suite of services. You can quote, buy and manage your insurance, pay your bill, get roadside assistance and submit a claim from your phone. Basically anything you can do on their website, you can do in the app. In the App Store, Geico has more than 1.54 million reviews and a 4.8 out of 5 star rating. This is significantly more users — and far more rave reviews — than apps from their competitors.

Cons

• Doesn’t offer gap insurance: GAP (guaranteed asset protection) insurance, which pays off the rest of your auto loan if you wreck the car while you still owe more than it’s worth, may matter to you if you made a small down payment on your vehicle or if you lease it.
• Predominantly digital experience: If you’re hoping to deal with a local insurance agent in person or over the phone, you may be out of luck. Most customers deal directly with Geico customer service agents through the website, and claims are typically handled online.

USAA: Best Car Insurance Company for Members of the Military

Throughout our research, we found that USAA’s stellar reputation holds true. If you’re a member of the U.S. armed forces or you’re related to one, there is no better option.

USAA is one of the three highest-rated automotive insurers in the country. The only downside is its limited availability: Only active service members, veterans, and their families are eligible. Given those restrictions, the quote process is a bit more intense compared with its competitors, but that’s a small price to pay for its exemplary service.

Pros

• Flawless purchase experience: USAA received a “better than most” rating in J.D. Power’s 2019 report, giving it one of the top rankings nationally.
• Solid financial stability: A.M. Best gives USAA the highest possible stability rating of “Superior.”

Cons

• Membership restrictions: USAA is available only to members of the military and their immediate family.
• Predominantly digital experience: If you want to work with a local insurance agent in person, you’re out of luck. USAA customer service agents and claims submissions are available through the USAA website and over the phone.
• Missing three key vehicle coverages: USAA doesn’t offer gap insurance, interior vehicle coverage or new car replacement coverage.

Progressive: Best for Discounts

Progressive is the fourth-largest auto insurer in the U.S. and offers an impressive array of discounts and special coverages that could reduce your monthly bill quite a bit. For example, the Snapshot tool allows Progressive to base your rate on your driving habits. Progressive also earned an “A+ Superior” stability rating from A.M. Best, so the company is on solid financial footing to cover any claims.

Pros

• Widely available discount options: Just about every policyholder will qualify for at least one discount, Progressive says, so it’s worth getting a quote. Just a few ways to save: Earn a good student discount, use the Name Your Price tool and prove you’re a homeowner (even if your home isn’t insured by Progressive).
• Pet injury coverage: Progressive offers free pet injury coverage, which is included with collision coverage and pays for vet bills (up to a specified amount) that result from a car accident. It could be a major draw for pet owners.
• Solid consumer experience: Although Progressive isn’t rated at the very top — J.D. Power gives it an average score across the board — Consumer Reports customers say this insurer is “very good” at providing access to agents, a simple process, prompt responses, paying for damage and communicating; plus, it’s “excellent” at making timely payments.

Cons

• Room for improvement: Other insurers on this list rate much higher for policy price and overall customer experience. If you buy coverage and you’re unhappy with the service, your best bet is to shop around and change insurers once your contract is up.

Other Car Insurance Companies to Consider

Not all of our top picks for the best car insurance companies are available in all areas of the country, so here are some other good insurers worth checking out.

Erie Insurance

If you live in the South, Midwest, or Mid-Atlantic regions, Erie Insurance is worth your consideration. Erie has consistently received high marks from J.D. Power and Consumer Reports. In 2019, Erie Insurance ranked first in the Mid-Atlantic region in J.D Power’s annual study.
The reason it didn’t make it into our top five recommendations is due to limited availability — it only serves residents of Illinois, Indiana, Kentucky, Maryland, New York, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia, Wisconsin, and certain parts of the District of Columbia.

Outside of that, Erie is one of the best commercial auto insurers, offering policies that come standard with coverage for road service, lawyer fees, and loss of earnings. It also has comprehensive coverage options that include extras such as money toward rental cars after a crash — which is an add-on policy with most insurers.

Auto-Owners Insurance

Auto-Owners Insurance is available in 26 states located primarily in the South and Midwest. It uses an agent-only model that promotes customer relationships, so it’s a great choice if you prefer talking to a human being. The company also scored a nearly perfect score in J.D. Power’s 2019 satisfaction report, falling short only in the realm of its rental car experience.

Here are the states where Auto-Owners Insurance operates: Alabama, Arizona, Arkansas, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Carolina, North Dakota, Ohio, Pennsylvania, South Carolina, South Dakota, Tennessee, Utah, Virginia, and Wisconsin.

Preparing for a baby isn’t just tiny clothes and heartwarming ultrasound photos; it involves a lot of financial preparation. This guide will lay out the most important financial tasks on your plate from pregnancy to baby’s first years, including:

• Estimating your medical costs
• Planning leave from your job
• Budgeting for the new arrival

Some parenting preparations are best learned on the fly — how to effortlessly and painlessly change the messiest diapers, for instance. But the list of things to do before baby arrives and within his or her first several weeks is lengthy, so tackling certain tasks now is a smart idea.

Pre-delivery planning

1. Understand your health insurance and anticipate costs. Having a baby is expensive, even when you have health insurance. You should forecast your expected costs fairly early in the pregnancy. NerdWallet’s guide to making sense of your medical bills can help as you navigate prenatal care, labor and delivery, and the bills that will ultimately follow.

2. Plan for maternity/paternity leave. How much time you and your partner (if you have one) get off work and whether you’re paid during that period can significantly impact your household finances in the coming year. Understand your company’s policies and your state’s laws to get an accurate picture of how your maternity leave will affect your bottom line.

3. Draft your pre-baby budget. Once you know what you’ll be spending on out-of-pocket medical costs, understand how your income will be impacted in the coming months and have prepared a shopping list for your new addition, adjust your budget accordingly. Babies come with plenty of expenses, so set a limit on both necessary and optional buys (like that designer diaper bag or high-end stroller with the LCD control panel), and consider buying used to keep spending under control.

4. Plan your post-delivery budget. Recurring costs such as diapers, child care and extra food will change your household expenses for years to come. Plan for them now so you aren’t caught off guard.

5. Choose a pediatrician within your insurance network. Your baby’s first doctor appointment will come within her first week of life, so you’ll want to have a physician picked out. Talk to friends and family to get recommendations, call around to local clinics and ask to interview a pediatrician before you make your choice. In searching for the right doctor, don’t forget to double-check that he or she is within your insurance network. Ask the clinic, but verify by calling your insurance company so you’re not hit with unexpected out-of-network charges.

6. Start or check your emergency fund. If you don’t already have a “rainy day fund,” now’s the time to anticipate some emergencies. Kids are accident prone, and with the cost of raising a child there’s no telling if you’ll have the disposable income to pay for any unexpected expenses. Having at least three to six months’ worth of living expenses covered is a great place to start.

While in the hospital

The main focus while you’re in the hospital is having a healthy baby. But there are a few loose ends that will need to be taken care of.

7. Order a birth certificate and Social Security card. Hospital staffers should provide you with the necessary paperwork to get your new child’s Social Security number and birth certificate. If they don’t or if you are having a home birth, contact your state’s office of vital records for the birth certificate and your local Social Security office to get a Social Security card.

Within baby’s first 30 days

8. Add your child to your health insurance. In most cases, you have 30 days from your child’s birth date to add him to an existing health insurance policy. In some employer-based plans, you have 60 days. Regardless, do it sooner rather than later, as you don’t want to be caught with a sick baby and no coverage.

9. Consider a life insurance policy on your child. No one expects the tragedy of losing a child, so many parents don’t plan for it. The rates are generally low because a child’s life insurance policy is used to cover funeral costs and little else. When it comes to covering children, a “term” policy that lasts until they are self-sufficient is the most popular choice.

10. Begin planning for child care. Finding the right day care or nanny can take weeks. Get started long before your maternity leave is over. You’ll need time to visit day care centers or interview nannies, as well as complete an application and approval process if required.

Beyond the first month

You’ll be in this parenting role for years to come, so planning for the future is crucial. Estate planning is a big part of providing for your children, but it isn’t the only important forward-focused task to check off your list.

11. Adjust your beneficiaries. Assuming you already have life insurance for yourself or the main breadwinner in your household — and if you don’t, you should — you may want to add your child as a beneficiary. The same goes for your 401(k) and IRAs. However, keep in mind that you’ll need to make adjustments elsewhere to ensure when and how your child will have access to the money. A will and/or trust can accomplish this.

12. Disability insurance. You’re far more likely to need disability insurance than life insurance. Make sure you have the right amount of coverage — enough to meet your expenses if you’re out of work for several months. Remember, your monthly living expenses have gone up since the new addition.

13. Write or adjust your will. Tragic things happen and you want to ensure your child is taken care of in the event that one or both parents die. Designate a guardian so the courts don’t have to. Your will is only one part of estate planning, but it’s a good place to begin.

14. Keep funding your retirement. When a child arrives, it’s easy to forget your personal goals and long-term plans in light of this huge responsibility. Stay on top of your retirement plans so your child doesn’t have to support you in old age.

15. Save for his or her education. College is costly, but you can make it more manageable by starting to save early.

Adding a new member to your family comes with a lengthy list of responsibilities, so don’t try to do them all at once. Prioritize and tackle the most important items on your financial to-do list first. Because medical bills and insurance claims will be some of the first financial obligations you’ll encounter while expecting, start there. Move on to budgeting for pregnancy and the first several months of your baby’s life.

With 18 or more years until your little one leaves home, time would seem to be on your side. But — as the saying goes — blink and he’s grown. Now is the time to start taking the steps that will set your family up for financial success.

While you may not have control over the economy, you do have control over the actions that you take.

1. Keep track of your spending. If you know where your money is going it will be easier to make changes if you need to.
2. Separate wants from needs. Do you really need that 42-inch flat screen television? When money is tight it should not be spent unless absolutely necessary.
3. Avoid using credit to pay your bills. While it may make things easier now, using credit only increases your monthly payments in the future.
4. Save regularly. Have some of your paycheck directly deposited into your savings account or set up an automatic transfer each month from your checking to your savings account.
5. Check your insurance policies. Review the coverage for all your plans. You may have too much and be wasting money or too little and not be adequately covered.
6. Be careful about spending a significant amount of money on periodic purchases, like gifts and vacation. While you may feel good while you are spending the money, you may wish you had the money later.
7. Cut or downgrade your services. Can you get a cheaper cable package or have no cable at all? If you have a cell phone consider cutting your land line.
8. Try lowering your energy bill. Turn off appliances and lights when they are not needed. Purchase energy-efficient light-bulbs. When you can, use a fan instead of air conditioning or put on a sweater instead of turning on the heat.
9. Consider signing up for online bill payment. Not only will you save on stamps, but you can make sure your payments are received on time.
10. Cut down on take-out ordering. Even if the meal is not expensive, doing it frequently can really add up. A $10 pizza once a week will cost you over $500 a year!