Prenatal and Medical Expenses
The good news for residents of Alberta is that healthcare costs
related to pregnancy and childbirth are largely covered by Alberta
Health Services (AHS). This includes prenatal care, ultrasounds,
delivery (whether through natural birth or caesarean section), and
postpartum care. However, there are still out-of-pocket expenses to
consider, including:
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Prenatal vitamins and supplements: These can cost anywhere
from $20 to $50 per month.
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Private maternity classes: If you opt for additional prenatal
education classes outside of those offered by AHS, they can range
from $100 to $200.
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Out-of-hospital midwifery services: While some midwifery
services are covered, you may face additional costs depending on the
provider or specific services.
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Non-medical services: Some parents choose to hire a doula or
attend specialized prenatal yoga classes, which can add another $500
to $1,500.
Parental Leave and Income Adjustments
Both parents in Alberta may be eligible for Employment Insurance
(EI) benefits during parental leave. For current information on
maternity and parental leave in Alberta, click here https://www.alberta.ca/maternity-parental-leave.
Childcare Costs
Childcare is one of the biggest expenses parents will face after the
birth of their child, especially once maternity or parental leave
ends. Childcare costs in Alberta vary based on location and the type
of care.
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Daycare or childcare centre: Costs can range from $800 to
$1,500 per month, depending on where you live.
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Subsidies: Alberta offers a childcare subsidy program for
low- to middle-income families, which can help offset these
costs.
Essential Items for the First Year
There are many must-have items for newborns that should be factored
into your budget. While many parents opt to buy items new, if cost
concerns are a factor for you, then perhaps purchasing (where safe and
appropriate) second-hand is your best option to cut some expenses.
Costs vary on items and supplies, but having $10,000 set aside to get
started and to cover the first few several months of supplies may be advisable.
Here’s a list of essential items you may need:
Nursery Setup: $700+ one-time
- Crib, mattress, bedding, change table, glider, rocking chair,
baby monitor
Transportation: $1500+ one-time
- Infant car seat, stroller, baby carrier or wrap
Clothing and Diapers: $200+/month
- Clothing (0-12 months), diapers, wipes and diaper cream
- Cloth diapers can have a higher upfront cost but may save money
in the long run
Feeding Supplies: $150+/month and $600 one-time
- Breast pump, high chair, bottles, formula
Health and Safety: $250+ one-time
- Baby first aid kit, thermometer, babyproofing supplies
Other Miscellaneous Items: $$600+ one-time
- Diaper bag, toys, books, entertainment, baby bathtub, bouncer
or swing
Lifestyle Preparations
While your current budget may work for you, and as you assess your
preparations for welcoming the baby, you may need to make some
lifestyle changes that can impact your timeline or planning.
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Housing: Assessing your current and future housing needs for
your growing family may mean changing locations, which may incur
additional monthly rent or mortgage expenses, as well as associated
moving costs to consider.
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Vehicles: As your family changes, your ways of getting around
may change, including adding a second vehicle or changing the
vehicle that you currently own. This may mean leasing or loan
expenses that need to be accounted for in the months or years ahead.
**
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Pets: If you have a fur-family member, it may mean adding
dog-walkers or daycare to ensure your pet is getting the time and
exercise they need during the initial months of adjusting to a new
baby. **
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Travel: If your family is in a different location, a new baby
may mean a family visit is in the future - either you travel to see
them, or they come to visit you. The added expenses for family
visits and travel with a new baby in the first years may be
overlooked in the excitement of baby planning.
Unforeseen Expenses
While you may budget for all the basics, it’s important to set aside
a financial cushion for unexpected costs, such as:
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Medical expenses not covered by insurance: Some vaccinations
or treatments may not be fully covered.
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Emergency funds: Unexpected expenses related to health
issues, home repairs, or other emergencies can arise.
Long-Term Planning
As you prepare for your new baby, consider starting or adjusting a
savings plan to account for future expenses, such as:
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Education savings: Alberta families can take advantage of
the Registered Education Savings Plan (RESP),
which allows you to start saving for your child’s education
early.
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Life insurance: Ensure that you have adequate life insurance
coverage to provide financial security for your family in the event
of an emergency.
Financially preparing for a child requires planning and budgeting,
but with a solid plan in place, you can focus on enjoying your time
with your new baby. By accounting for medical costs, essential items,
childcare, and long-term savings, you’ll be in a strong position to
manage the financial responsibilities of parenthood.
The key is to start early, create a budget, and ensure you have a
financial safety net for those unforeseen expenses that inevitably
arise when welcoming a new member to your family.