How To Financially Survive On Maternity Leave

In today’s post I’m sharing how to cope financially with a drop in income on maternity leave. This is something I feel like no one really prepared me for after having a baby. The sudden drop in income and lack of money I would have to spend on myself and Rose during maternity leave came as quite a shock.

I have a lovely husband who was more than happy to provide support if I needed it, and I count myself very lucky and grateful for that. But I would be lying if I said there weren’t days when I felt deflated and panicked. I missed earning an income myself.

After all, the world didn’t stop turning just because I’d given birth. There were bills to be paid, plus financial obligations and emergencies popping up left, right, and centre, too.

Even though I feel like I’m financially savvy and had somewhat saved up to prepare for the drop in income. It still really caught me off guard.

So I really want to share some ways I did cope and hope these can help you too…

Look at your current spending

One of the first things you need to do is consider your current situation. The best way to get a better understanding of your finances is to go through your bank statements. Transaction by transaction.

It may sound extreme. But it could help the penny drop (excuse the pun) and allow you to see what you’re spending the most money on. Make a note of all your outgoings and see what you could do without. It could highlight things that you really don’t need to be spending money on.

Think Netflix, Amazon Prime, gym memberships, etc. Cancelling these will be quick wins and can help you feel more empowered about your situation.

Address your debts

Looking at your outgoings may have flagged any debts that you’re paying off each month. These could be credit cards, personal loans, or an overdraft.

While you might not be in a position to pay off any of these in full right now, look into debt consolidation. Paying the interest and paying down on one loan or credit card is much better than tackling multiple interest. Especially on top of everything else you have going on right now.

Before you do this, have a look at your credit history to check if you’re eligible to take on any new, consolidated debt. AI impact on finance means it is less likely a human will look at your application and make sure certain criteria is reached. A quick look at your credit history first will highlight if this is an option.

If it isn’t, then you may want to concentrate on the one that is costing you the most and address this first.

Tweak your everyday spending habits

Maybe you have noticed that there are things you spend each week that you want to try and reduce. Perhaps you have just worked out exactly how much you spend on groceries each week.

Think about how much you may throw out and there could be a lot of wasted money there. A simple way to change this habit is to start taking control. Meal planning is a great way to do this. You then have a list of everything you need for that week. And it stops you buying extra or spending more than is needed.

You could also switch the place you shop, or swap branded items for supermarket own brands. These changes alone could dramatically reduce your food bill. But it doesn’t stop there. For shopping for food, clothes, days out or meals in restaurants, you could also bring the cost down by using discount codes and vouchers and cashback sites.

Shop around for cheaper bills

The problem a lot of people have when it comes to switching bills is they think it will take too much time and effort. I couldn’t think of anything worse than being stuck on the phone for hours haggling. Especially with a newborn baby to tend to. BUT it really isn’t that much hassle.

Using a comparison site really takes all the guesswork out of it. You can see all your options and choose the cheapest if it suits your needs. Most companies also have quick and easy switching services now too.

You may think you’ve got a great deal with your insurance, phone network, or energy provider. And that the easiest and cheapest option is to stay put. The truth is your provider saves the best deals for new customers. So actually, loyalty doesn’t pay in this situation.

Switching providers is not as complicated as you may think. And actually a bit of notice and a phone call or live chat conversation is all it takes. With energy bills, they tend to do all the hard work for you.

If you spend less than half an hour looking for a better deal while baby naps, I guarantee you’ll beat your current quote.

Save money around the home

It may be worth mentioning, that also doing things like switching lights off and actively saving energy, like doing less but fuller wash loads in your home could have a positive effect on your future bills.

It’s one of those things that could really help you save money in the long run. And it can be something that the whole family gets involved in. There are plenty of tips online on how you can save energy in the home. 

Boost your income

Finally, why not use your ‘spare time’ to boost your disposable income and bring in some extra cash? Consider selling unwanted things online on platforms like eBay or Vinted.

You could also try other online side hustles that you could do from the comfort of your own home. Things like completing surveys or website testing are both relatively stress-free while you’re juggling life as a new mum.

I really hope these tips help you survive the salary drop while you’re on maternity leave. If you have any more ideas, let me know!

This is a collaborative post