“How much should we save each month for our child’s future?”
It’s a question many new parents ask themselves… and usually, it comes with a wave of anxiety.
If you’re anything like me, you probably looked at your newborn and felt two things at once: overwhelming love and a quiet voice in the back of your head whispering, “We need to sort out our finances. Now.”
So let me walk you through the real conversations we need to be having when it comes to family budgeting — especially when children enter the picture.
Let’s start with what’s on your mind…
A couple recently wrote to me with a question I hear often:
“We’ve set aside a small lump sum for our baby. Should we open a dedicated account for it? And how much should we aim to save every month?”
As a father of two young children myself (currently four and two), I completely get this. The moment my wife and I became parents, our conversations shifted. Suddenly it wasn’t just about how we lived today — it became about the legacy we were starting to build.
So, where do you begin?
1. First things first: Where do you keep the money?
If you’ve got a lump sum set aside, you’re already ahead of the game.
While many parents are tempted to jump into long-term investments, sometimes a simple dedicated bank account is the right first step — especially if you’re unsure of your timeline.
Look for:
- Flexible access to funds
- Low fees
- A competitive interest rate
If you’re thinking of locking it away for 5+ years, there are also structured savings and even investment accounts to consider. But here’s the key: don’t rush into the ‘perfect’ account. The most important thing is that you’ve started thinking about your child’s future — the rest can evolve.
📌 Tip: Consider speaking with a qualified financial advisor if you’re exploring investment-based savings options. There are more choices now than ever before.
2. Family Budgeting 101: How much should we save each month?
There’s no one-size-fits-all answer here, but most families I work with find that €50 per month is a good, manageable place to start.
Here’s how we approached it in our home:
We didn’t pick a fixed number. We chose a percentage of our income, and we review it once or twice a year. That way, if our earnings change, our savings contribution adjusts too — without breaking the family budget.
The goal here isn’t perfection. It’s consistency.
Even €25 or €30 a month, saved regularly, makes a difference over time — and builds a habit of setting money aside for someone else, which is a powerful shift in mindset for any parent.
3. The Emotional Side of Budgeting for Your Child
Let’s get real for a second.
When you become a parent, your heart starts saying things your bank account might not agree with.
We want to give our children the world.
But part of responsible family budgeting is being honest with yourself — and your partner — about what’s possible without sacrificing your own stability.
In our house, we check in regularly with a few key questions:
- How do we envision our child’s future — and what role does money play in that?
- What values around money do we want to teach?
- How do we balance saving for our child with our own long-term goals (like retirement or lifestyle choices)?
- Are we reviewing financial products regularly to stay up to date?
- Do we have enough flexibility to handle unexpected costs?
These aren’t questions with right or wrong answers. But they help you build a financial plan that feels aligned with your family’s values — not just what social media or your relatives say you should be doing.
4. Don’t Forget to Budget for Joy
One last thing…
In all this talk of saving and accounts and numbers, don’t forget to budget for the present too.
Financial planning for your child isn’t just about university funds and house deposits. It’s also about building a life they feel safe in — one filled with moments, not just money.
So yes, open that savings account.
Yes, put away what you can each month.
But also…
Say yes to the occasional spontaneous ice cream.
Take photos. Laugh. Rest.
Because the best gift you can give your child isn’t just a financial one — it’s your presence.
Want more tips on budgeting for your family?
If you’re figuring out how to make your money work better for your family, you’re not alone — and you don’t have to figure it all out by yourself.
📅 Let’s chat.
Book a free 20-minute call with me and let’s talk through your family budgeting goals, what’s working, and what’s not. Sometimes all you need is a fresh perspective to take the next step with confidence.
👉 Book a free discovery session here
Author: Luca Caruana
———————— About the Author: Luca Caruana
Hi, I’m Luca, a Certified Money Coach, dedicated to helping individuals break free from limiting beliefs and build lasting wealth.
My proven strategies empower clients to break free from financial constraints and confidently navigate the world of money—whether it’s managing budgets, making savvy investments, or pursuing new financial opportunities.
With over a decade of hands-on experience in personal finance and mindset coaching, I’ve guided countless clients through the process of transforming their financial narratives. My approach combines deep psychological insights with practical financial tactics, ensuring that each client not only learns how to manage money effectively but also develops the mindset necessary to truly thrive. I’ve seen firsthand how a positive money mindset can be the game-changer that propels you toward financial freedom and a more fulfilling life.
Let me show you how to harness the power of your beliefs to create a future filled with opportunity and prosperity. Let’s talk and start transforming your financial future today.