Baby on the Way? Five Money Conversations to Have Before Parental Leave

Congratulations, and also, brace yourself, because babies are expensive in ways nobody fully warns you about. Before the nursery gets sorted, it's worth having a few money chats while you've still got the headspace for it.

1. What does parental leave actually pay?

Government Parental Leave Pay, employer schemes, and how they stack (or don't) can be confusing. Work out the real number landing in your account each fortnight, not the number you're hoping for.

2. What happens to the mortgage or rent?

If one income drops or disappears for a while, does the budget still work? This is the conversation people avoid because it's stressful, but doing it now beats doing it panicked at 2am with a newborn.

3. Is your insurance still adequate?

Life changes, and insurance needs often change with it. A new dependent usually means the cover you had as a couple with no kids isn't quite enough anymore.

4. What's the childcare plan, and what does it cost?

Childcare Subsidy rates, waitlists, and the gap payment can catch people off guard. Sorting this out early avoids a scramble later.

5. Should you top up super during time off work?

Time out of the workforce, especially for the parent taking most of the leave, can leave a real dent in long-term super balances. There are ways to soften that, but they need planning ahead of time, not after.

None of these conversations are as fun as choosing a new pram, but they matter a lot more to how relaxed the next twelve months feel.

If you want to sit down and map this out properly before bub arrives, Sean at Success Planning is happy to help. Get in touch at info@successplanning.com.au.

This article contains general advice only and does not consider your personal circumstances. Please consult a financial adviser before making decisions.