In the Virgin Islands, becoming a parent is an exciting life event for anyone. However, the life event requires families to plan ahead and avoid common expenses. With the right plan, parents are prepared for all expenses throughout the child’s life. A financial advisor explains common requirements when starting a family.
Healthcare Requirements for Pregnancy and Pediatric Services
Healthcare savings plans help consumers cover medical expenses related to pregnancy, childbirth, and pediatric services for the child. A financial planner helps the couple review the current cost of the medical requirements and explores health insurance programs that cover more of the expenses. Contributions to the health care savings plan are completed each pay period.
Starting a School Tuition Fund
Parents who want their child to attend a private school need to get a jumpstart on tuition as early as possible. The financial planner helps the family determine how much they need for tuition and supplies for K-12. By starting a whole life insurance policy, the parents have a financial option from which they could borrow money in the future for these costs.
Financial Planning for Child-Related Expenses
The reality of raising a child includes a complete assessment of the financial needs of each child. For instance, health services, dental services, and other medical costs accumulate throughout the child’s life. When the child is 16, he or she can drive, and auto insurance costs increase. A senior in high school accumulates higher costs when preparing for graduation. Parents work closely with their financial planner to create a savings plan for these costs and any emergency services needed.
Planning for a College Education
A 529 college fund is vital for parents who want to start saving for college. All contributions are tax-free and deducted from the parent’s wages. The opportunities help parents pay for the cost of tuition and supplies throughout college.
In the Virgin Islands, the moment a couple decides to become parents, they should consider all financial ramifications. Raising a child requires financial stability and a higher than average earning capacity. Consumers who want to create a better plan for their child’s future contact David Johnson Cane Bay right now.