👶 Your first child

Money coming in: child benefit and parental pay

How much money you receive as new parents depends entirely on where in the world you live. I can't tell you how much you'll receive — that's something you have to look into yourself, based on where you live. But often, your country does pay you a little something for having children. That money comes to help you along the way with the expenses that follow when you have a baby.

Money going out: the first year's costs

I could simply start by saying that diapers cost more than you'd think. When we had our third child, we had just sold every baby thing we owned. The first year, I estimate that we spent 110,000 NOK on the baby. Stroller, footmuff (called "klima"), car seat, pacifiers, washcloths, soaps, clothes — there's a lot in the first year. I wrote a book where I went through everything we needed, and all the extras that can be considered luxuries. You can often manage with very little if you have to, but simply put, the total always ends up bigger than you'd think.

Saving for your child: start early, let compounding work

This website is about helping your future self — tomorrow, and many years from now. One of the best things I've done was starting a savings account for all my children the week they were born. Money pours out when you have a child anyway, so we never noticed that I set aside an extra 200 each month. I started transferring 200 NOK every month to an account with a good interest rate. Whether you should save into a bank account, a fund, or something else — that's a conversation for the advisor at your bank. I won't tell you which method you should use, only that you should start as early as possible. If you pick up an extra 200 NOK expense each month from day 1, you won't notice it in the long run. My 200 had one specific goal. I wanted to pay for my child to be able to drive. 200 becomes 43,200 (with good interest, quickly 50,000+). Suddenly I can pull out a hidden account in 18 years — and help with the driver's license, without that turning into a big blow to my own finances 18 years from now. Do you know your child will be celebrated with a big party when they're 14? Start saving 300 a month when they're 10. These small changes in your own finances often go unnoticed when they stretch over such a long time. Start early, and your future self will thank you for it.