Paid maternity leave or savings accounts?

Tuesday September 30, 2008

One of the hottest topics in Australia at the moment is the possibility of families receiving 18 weeks of paid maternity leave. It has been estimated that this plan could cost taxpayers $450 million a year. Some Australians are for the idea claiming it will help babies and their mothers, while some people are outraged by the proposal.

While the maternity leave debate continues to rage on, it does highlight one valid issue. Saving money for your future children will help you when the bundle of joy arrives. It has been estimated that one child will end up costing around $600K before they turn 18. Even with 18 months of paid maternity leave, your beloved children are going to be expensive.

If you have enough money in your savings accounts, all the expenses associated with children could be made that much easier. If you want to have children in the future, consider setting up a kids saving account. These savings accounts for your child's expenses can help you cover costs like day care, education costs, medical expenses, among a myriad of expenses generated by children.

When looking for suitable savings accounts, consider:

• Savings accounts with high interest rates.
• Minimal annual and maintenance fees.
• Online saving accounts so you can closely monitor your balance.
• Term deposits.

If you want to make regular deposits into your savings accounts, you can arrange for a direct debit straight into your savings accounts. If used wisely, you can have a sizeable amount of money ready for when your baby arrives.

Compare savings accounts now and start saving for your children now.

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