How much savings do you need to be a SAHM?

I am considering to be a SAHM once baby arrives. But I am not too sure how much savings is required to be comfortable for at least a year. Any comments or inputs are welcome!

10 Replies
 profile icon
Write a reply
Super Mom

I’m taking 1 year off currently, with 16 weeks ML and then NPL for the rest. I think it depends on what you mean by being comfortable. My husband and I cook on most days or buy food from coffeeshops that’re not too expensive, but with occasional treats. I make bulk purchases for most baby things and research thoroughly for the best deals, so as to save money. We have a car, but we don’t go out too much now (esp with the virus going around). Still there’s petrol and taxes, utility bills, insurance premiums (life x 2 adults, hospitalx 2 adults and 2 children, investment), daily expenses, etc to pay. In my case, if I include every single thing we buy or pay for in a year, $25k enough. We don’t use air con or go for hair/spa treatments/other fancy stuff. But if you want to include a holiday or restaurant meals or other comforts, you’ll need to adjust your required savings accordingly. When I go back to work, our savings and spending pattern may readjust again, but so far for the 5 months I’ve been home, we’ve been quite happy with our simple life with 2 kids (we’re both not working and taking of the kids full time for now).

Read more