How Much Does A Baby Cost A Year?

I have lost count of how many friends, family and work wives have come to me with this very question. I find it’s often around the sixth or seventh month of pregnancy as women experience a brief respite from early pregnancy symptoms and start to look ahead.

What does maternity leave look like, when will I finish up work, do I have appointments booked, and the big reality checker… how much does a baby actually cost?

Some studies have indicated costs for your baby’s first year to be from $5000 for the basics and up to $10,000 if choosing more expensive options.

When planning your first year of expenses, I always recommend that you delve a little into baby costs that are optional to decide what is most important to you. That way you know the costs incurred to provide for your new child in a way that is completely aligned to what you value as a new parent.

Here are some financial things I considered before I embarked on new motherhood.

Will You Be Going Public Or Private?

It is important to weigh up the pros and cons of public and private hospitals to decide which you are most comfortable with.

If you do have private health insurance, expect to pay anywhere from $2000 up to $5000 out of pocket for your Obstetrician. There may also be some out of pocket expenses for your hospital stay. Give your health insurance provider a call to discuss.

Public hospitals do not charge a significant gap but you may still incur some small costs for your hospital stay (around $100-$500 depending on your birthing situation). Speak with your hospital or GP about what to expect.

What Will Your Feeding Routine Look Like?

Fed is best and there are many options you can try to see what works best for you and your baby – each does have unique financial costs though to be mindful of though.

Boobs and Bottles

Breastfeeding day to day is free but new mums should expect to shell out some cash to support a good feeding routine. This could include expressing some milk to help establish a supply.

For this, a breastfeeding mum is likely to need a few bottles, bottle steriliser and breast pump in the cupboard. With pumps ranging from as little as $30 up to around $500, sets of bottles (necessary for bottle fed babies too) are around $50 and sterilisers go from $30 to $300, have a think about how often you are likely to use it.

The other feeding option is of course formula, but where breastfeeding is relatively free, formula is anything but and is surprising how fast the powder seems to disappear from the tin every week.

You can expect to pay around $20-$30 for a tin of formula. It will also require a lot more bottles which leads to the need to sterilise multiple times a day as well. Again, time vs cost considerations come into play here.

Transitioning To Solids

Of course, the days of bottle feeding will eventually come to end around the four to six month mark. Which opens up another budget fork in the road – homemade food or pre-packaged baby food?

Again this does come down to time convenience. For some, the time it takes to cook and mash homemade baby food is extremely disappointing when your baby throws the food on the floor, or rewarding when you finally find something they love!

Pre-packaged food costs about $1-$3 per sachet and babies will generally eat up to four of these a day as they grow. Consider working some pre-packaged baby food into your budget for the early days to test out some flavours and textures for your baby.

Will You Buy New Or Pre-Loved Furniture?

Babies need a surprising amount of stuff. Bassinets, cots, change tables, storage, mattresses, rocking chairs… it all adds up very quickly! Cots alone can cost as little as $150 and as much as $1500 so and an entire nursery furniture package starts at around $600.

Say YES to Hand-Me-Downs!

Baby furniture is bulky and your friends and family don’t want to store it. They would much rather see it go to good use… and save you some cash! This is especially useful for short term use items, like bassinets that babies often grow out of by the time they are six months old.

Buy Furniture as a Package

A set is usually cheaper than buying individual pieces and most stores will offer a discount if you can purchase on the same day. Plus, you can see if you are stretching your budget straight away – rather than purchasing individual items over time and not realising how the dollars have added up until later.

Choose Pre-Loved

Before you make your purchases, hop on to Gumtree and Facebook Marketplace to search for the items that caught your eye in the shop. You will be surprised how many excellent quality items are available to buy. And the best part? You don’t have to wait for delivery – you can pick it up straight away and have your nursery set up sooner!

Do You Want To Dispose Or Reuse?

If you have concerns about your disposable nappies filling up landfills, there is an alternative. Reusable nappies, or modern cloth nappies, have come a long way since our parents’ days.

Re-usable nappies can be quite expensive and logistically not as easy as throwing a disposable straight in the bin… you will need to have a strong stomach for those number threes!

Where disposable nappies require regular spending ($15-$40 every fortnight for a newborn), reusable nappies are a significant initial investment to set up but minimise costs down the track. Reusable nappies can be as little as $3 each or up to $40 each for some eco-friendly brands. Nappy liners will also be required day to day and a box of disposable nappies for emergencies may also be an investment for this choice.

Frequently Asked Questions

How much formula does a newborn go through?

If full time formula feeding, you may find you go through about one and half tins a week on average.

Do I need a change table?

Change tables are a convenient central location to change your baby and store all of your supplies. But some people who are tall or short may find the height doesn’t work for them.

If looking to save some money, this is one nursery piece you could forgo and use a portable change mat on a bed instead.

How many reusable nappies do I need?

Depending on your washing routine, you may need up to 25 reusable nappies to get started with a newborn.