A new member of the family brings extra financial responsibilities. You can have one fewer thing to interrupt your sleep at night if you get the family finances in shape. Start by getting spending under control (preferably with a budget). Also build your savings accounts for short-term expenses (especially if a spouse will be leaving a job) and long-term needs (including college tuition costs). In addition, review and update your insurance coverage (life, health, disability) and wills (to designate who will raise the child and handle finances in case of your death).
Getting a Social Security Number
When you have a baby, one of the things that should be on your “to do” list is getting a Social Security number for your baby. The easiest time to do this is when you give information for your child’s birth certificate. If you wait to apply for a number at a Social Security office, there may be delays while we verify your child’s birth certificate. The SSA.gov website provides instructions on how to get a Social Security number for your child and information on how to apply for disability and other benefits for your child.
Your child's Social Security number is the first step in ensuring valuable protection for any benefits they may be eligible for in the future.
You’ll need your child’s Social Security number to claim them as a dependent on your income tax return or open a bank account in the child’s name and buy savings bonds. Your child’s Social Security number is also necessary to obtain medical coverage or apply for any kind of government services for your child.
Most people apply for their child’s Social Security number at birth, usually at the hospital. When the time comes for your child’s first job, the number is already in place. For more information on getting your child a Social Security number and card, read Social Security Numbers for Children.
A bonus of assigning Social Security numbers at birth is that you can find the most popular baby names, which are announced each year. You can find the top baby names for the last 100 years on the SSA.gov website.
Finding Health Insurance for Children
Federal and state governments join together to offer health insurance coverage for children through Medicaid and the Children’s Health Insurance Program (CHIP). These programs serve families who are not able to afford health insurance coverage in the private market or do not have coverage available to them. Every state’s program is unique and has individual income eligibility rules and benefits covered. The InsureKidsNow.gov website is designed to connect individuals to their state's programs and resources.
Sources:
FDIC