The arrival of a newborn into your home is a life-changing experience. And when you are Nigerian, it comes with its own unique financial obligations. You have to budget for a lavish naming ceremony, a dedication ceremony, diapers, formula, baby clothes and even the uninvited aunties that insist on coming for omugwo (postpartum care). The financial demands may sometimes start to eclipse the thrill of being a new parent.
This is why it is crucial to lay out your financial plan before your little one arrives. Budgeting, building your emergency fund, bulk buying, making thrifty purchases, and buying a comprehensive health insurance plan with coverage for your newborn are some of the steps new Nigerian parents can take to save money in the long run.
We have compiled some helpful money-saving strategies by Nigerian parents for Nigerian parents that will be useful on your parenting journey.
Nigerian parents share their money-saving hacks
Beyond the financial implications of giving birth in Nigeria and the potential costs incurred from unanticipated pregnancy complications, you should prepare for the expenses that await you after your baby comes home. Having a newborn might shake things up financially, but it doesn’t have to completely derail you. Certain lifestyle tweaks can help you maximise your financial resources and save more without compromising your child’s well-being.
In light of this, PiggyVest asked two Nigerian parents to share their nifty hacks for saving money. First-time mum, Kamsi*, gave us her hack for saving on baby essentials. “Personally, I set up a baby registry and shared the link with my friends and family,” Kamsi said. “The moment I collected the baby list from the hospital, I curated my registry and put it out there. We only ended up buying a car seat and all my needs — like pads and nursing bras — out of pocket. We have a lot of family abroad, so we had to open a lot of Amazon packages. [Laughs]”
When asked how she handled the torrent of well-wishers after their return from the hospital, Kamsi disclosed that they didn’t exactly leave their home open to visitors. In order to maintain a quiet and sanitary environment for her and their baby, they allowed only a handful of guests, consisting of either family or close personal friends.
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“I didn’t have to cater to anybody,” Kamsi shared. “They all came bearing gifts. My mother-in-law came to spend the first month with us, and she was so helpful; she didn’t add to our financial burden in any way. We had a very intimate naming ceremony for our son, and the first time we really spent money was on catering for his dedication after three months. I transitioned my son to semi-solid foods at five months, and by eight months, he was eating the same thing as us. I was hellbent on eliminating formula from his diet, and we succeeded.
When asked to share his tried and true money-saving tips, Martins*, a dad of three, advised, “First try to do exclusive breastfeeding; that will save you tons of money on baby food. Then, ensure that your baby cream is top-notch so that you can eliminate skin-related diseases. Vaseline (petroleum jelly) does the magic that most baby oils can’t do.”
Martins added that new parents don’t need to go all out when shopping for baby clothes. The goal, according to him, is to aim for essential, high-quality clothing. “Buy just enough baby clothes at the outset because your baby will outgrow even the most expensive clothes very fast.”
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In terms of financial planning, Martins explained, “Always prioritise the baby’s needs first. That will prevent unnecessary pressure. Then ensure that you don’t have three aunties over for omugwo. E get why. And have a budget for entertainment and visitors. Money depletes very fast on that.”
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7 strategies for new Nigerian parents
1. Buy in bulk
Baby essentials like diapers, wipes and even formula are best bought in bulk. This will help you save money on individual items and reduce the stress and frequency of your shopping trips.
2. Go frugal on baby gear
Unless you intend to have multiple children in quick succession or come from a large family, it might not be a great investment to splurge on new baby gear. Secondhand options for baby gear are never a bad idea. Be open to accepting gently used, hand-me-down cribs, high chairs, clothing, strollers, or car seats, from other mums whose kids have outgrown theirs. Explore thrift stores, clearance sales, or online marketplaces like Facebook, to find great deals and save money on the actual retail prices.
3. Work with a baby budget
A baby budget is pretty much your regular budget adjusted to account for your newborn. As time passes and your baby’s needs evolve, make adjustments to your budget. This will help you track your spending and keep you on track with your money goals. To keep tabs on your expenses, you can also use Labels, a neat sub-feature in your Flex Naira wallet, to organise and allocate funds for different purposes based on your budget.
4. Build your savings/emergency funds
No matter how prepared you are for a baby, you will encounter some unexpected baby-related expenses. That is where your emergency fund will come through for you. Your emergency fund should contain three to six months of living expenses (your budget will paint you a clearer picture) in a savings wallet. PiggyVest offers multiple options to help you save towards your financial goals while earning delicious interest on the side.
5. Buy a comprehensive health insurance plan
When buying an HMO plan, review all your benefits to make sure it covers post-natal care, vaccines and pediatric care. You will save so much money on healthcare, making one less reason to dip into your emergency fund.
6. Save money on feeding
Exclusively breastfeeding can help you save significantly on formula and feeding supplies. However, breastfeeding isn’t always an accessible option for many mothers, and there is no shame in that. You can explore other options: homemade baby foods (fruit/food purees, ogi/akamu, and other nutritious options) and cheaper/generic formulas or good-quality feeding paraphernalia.
7. Seek family assistance
As a Nigerian, one of the perks of having everybody in your business is the community. Take advantage of this as a new parent. With willing and trusted family members and friends around you, you can share resources, and receive assistance in the form of free childcare, gifts or other acts of service. Be careful not to have too many people living in your home, as that could quickly become inconvenient and cost you more in the long run.
