These days, it is very costly to raise a child. The cost of living has risen considerably but somehow, the wages of all working people have not been increased. The low income earners are the ones who suffer the most when it comes to finances. With their meager income, they find it difficult to make both ends meet. Surprisingly, even the high income earning people can sometimes ran out of money due to too much spending here and there.

Married couples with children in this generation surely feel the pinch as times become more challenging especially where finances are concerned. Today’s situation and cost of living is a far cry from the past century when everything was cheaper then. This is the reason why it’s so important to plan your family well these days. It’s no longer ideal for low income families to have as many children as they want.

Did you know that in Australia, the cost of raising a child up to the age of 18 is now $1 million? Yes, that’s right. And this has been confirmed by a new study done by social researcher Mark McCrindle. The study’s figure refutes the earlier estimate made by the government at $384,543.

According to this latest research, many parents who can afford tend to buy their kids expensive toys, enroll them in various private tutoring and other lessons and prefer to use modern technology. What McCrindle also found that the modern parents earn more than their parents did in the past and therefore, also spend more for their children’s needs. These are the people born since 1995 known as the Generation Z and who are no longer in the habit of letting their kids share their toys or hand down the older child’s toys to the younger ones. These parents often buy new toys for their children.

This may not hold true for people in the low income bracket. Although there may be some in this income group that have huge spending habits that they find hard to change. If this is so, it’s definitely necessary to make a change for the sake of your children and family.

Spending should be reduced to the minimum or to what you can only afford. Start your year right and work hard to achieve a stable financial situation. For newly married couples, it’s best to plan your family well and decide on having just one child or perhaps, you may even want to delay it for awhile until you have enough savings for raising a child.

It’s just good to know that amid a tight budget for people not earning that much, they have other resources to approach should they be in need of immediate money. Many short term lending companies are operating online these days making it more convenient for consumers to apply for payday and cash advance loans. These lenders can be their savior during emergency situations so long as they don’t ignore their responsibility of paying back their loans on time. These short term lenders are more preferred by people than the credit cards the frequent use of which involves a high cost which could only affect a person’s credit rating.