Having a baby will change your life in significant ways, and this includes financially. Not only will you have increased costs for things like diapers and childcare, but you’ll also have new financial planning considerations, too.

In this five-part series, we’ll walk through these considerations and provide a roadmap to follow as you financially prepare to add a new bundle of joy to your family.

Today, we’ll begin by discussing one of the cornerstones of financial planning: your estate documents.

Congratulations! The arrival of a grandchild is an exciting time. All of the soft snuggles, tiny shoes, first coos and crawls, AND you get to give them back to their parents after a nice happy visit. The arrival of the next generation is also a good time to plan for your (and their future). In this article, we will go over different ways to gift, save, and set aside for your grandchildren.

The first step will be deciding what type of financial assistance you would like to provide for your grandchildren.

Start by answering these questions:

• Do you want to help save for their education?
• Or would you prefer to set up a trust that they can access down the line?
• How much would you like to give a year?
• Will it exceed gift tax return limits?

“What we have here is a failure to communicate.”

-From the movie, “Cool Hand Luke.”

In the movie “Cool Hand Luke, pre-salad dressing, philanthropist, Paul Newman played the character of a prisoner in a chain gang. Because he was sullen, unruly, and unable to change his ways, he was berated by the prison “Captain” for disobeying his orders. I love the above quote because it is worthy of expression from both a spiritual and financial perspective. Although money and spirituality may not appear to be closely associated with each other, they are inordinately glued to the choices many couples make when discussing important financial issues. Most couples in close relationships have not achieved the skills necessary to listen empathically; to the words one partner is saying and reading between the lines as to what is not being said. These small misperceptions can be an impediment to communicating more effectively.

“The future’s uncertain but the end is always near.”

Jim Morrison, the Doors, “Roadhouse Blues”.

Many investors are losing valuable sleep listening to the misguided, canary-in-the-coal-mine commentators expounding on an imminent stock market crash due to a future recession (the “R” word). Paradoxically, if too many investors believe the same thing, as fate would have it, the “R” might just become a self-filling prophecy! On the other hand, the Wall Street axiom “a bull market climbs a wall of worry” may also suggest that too much negative investor sentiment may have the opposite effect and the market will continue to rise. It may make more sense to refrain from prognostications. The great investor Warren Buffett said, “Short-term market forecasts are poison and should be kept locked up in a safe place, away from children and also from grown-ups who behave in the market like children." -- 1992 Berkshire Hathaway Chairman's Letter.

It’s the little things you begin with that matter most! The wisdom found in the Tao Te Ching says the long thousand- mile journey begins under one’s feet by taking small steps! If you are hiking and climbing a mountain you take one little step at a time. It is unrealistic to think you can physically run to the top.