5 Common Money Blunders New Parents Make

New parents don't have to be filthy rich in order to raise a child comfortably and effectively. All they need is love, foresight, and astute budgeting skills. Without those three, new parents will likely commit the following money blunders.

1. Insufficient savings

The most common money blunder that new parents make is not having enough money in the first place. Cheat Sheet recommends that expectant couples should start saving cash for the baby as soon as possible. Soon-to-be parents should foresee their short-term and long-term goals for the child and begin allocating funds accordingly.

2. Having an eagle for new stuff

New parents can be forgiven for wanting nothing but the newest stuff for their little angel. However, the newest isn't necessarily the best and it's certainly not the cheapest either. New moms and dads should realize that babies grow up so fast. What fits them today won't fit them in a few months' time. Parents should prioritize safety and durability first before novelty.

3. Buying in bulk

MSN reported that prices of commodities change on a weekly basis. New parents are advised to only purchase what they need for a week rather than stockpiling one month's worth of diapers and wipes. Parents can also take advantage of baby-related promos and freebies to save on cash.

4. Splurging like crazy

Dr. Kristie Rivers explained on Bundoo that new parents often spend excessive amounts of money on unnecessary stuff like hi-tech strollers and top-of-the-line car seats. Other common splurges include too much baby photos, fancy cribs, designer clothes and expensive toys.

5. Not putting enough thought (and money) into the child's college education

Most new parents think about college only after having their child. Dr. Rivers said only 40 percent of new parents worry about their child's college education while a meager 25 percent of expectant couples are saving up for their child's future tuition fees.