Having a baby in the Philippines can feel overwhelming—not just emotionally, but financially. From hospital bills to baby supplies, the expenses can add up fast. But according to Janice Sabitsana, a Registered Financial Planner (RFP), Filipino parents have more tools than they realize to bring costs down.
In an interview with Financial Adviser PH, she explained:
“Every peso you prepare ahead of time is a peso you won’t have to scramble for later. Parents who plan early, save consistently, and maximize benefits can cut costs without compromising their baby’s care.”
Here’s her complete guide to making parenthood more affordable.
Step 1: Start Saving Before the Baby Arrives
Sabitsana recommends setting up a dedicated baby fund as soon as you find out you’re expecting. The idea is to break down the target amount into manageable portions.
“For example, if you want to save ₱50,000 and you have five months before your due date, that’s ₱10,000 per month or ₱5,000 per pay period,” she said.
She suggests using digital banks or high-yield savings accounts to make the money work harder. “The little extra interest you earn can help offset small but frequent expenses like vitamins or baby clothes,” she added.
Step 2: Build an Emergency Cushion
Even with a baby fund, surprises happen. Sabitsana stressed the importance of setting aside at least three to six months’ worth of household income as an emergency fund.
“The baby fund covers what you expect. The emergency fund covers what you don’t,” she explained. “This is what keeps families from going into debt when unexpected medical costs come up.”
Step 3: Maximize Insurance and HMO Coverage
Hospital bills for delivery can be one of the biggest costs, and many parents don’t realize what their insurance actually covers.
“Most HMOs cover checkups and lab tests but not delivery,” Sabitsana said. “If you’re planning to get pregnant, check the details of your plan. Sometimes, paying out of pocket is actually cheaper than paying for a package that doesn’t really cover what you need.”
She advises comparing costs early to avoid surprises later.
Step 4: Explore More Affordable Birth Options
For low-risk pregnancies, parents can also consider birthing centers or lying-in clinics.
“Choosing a midwife instead of a private hospital can save tens of thousands of pesos,” Sabitsana explained. “It’s not the right choice for everyone, but it’s worth discussing if your doctor says your pregnancy is low-risk.”
Step 5: Claim Every Government Benefit Available
Perhaps the most overlooked way to cut baby costs is by claiming government benefits.
“PhilHealth covers hospital and midwife-assisted deliveries. The SSS maternity benefit can go up to ₱70,000 if your contributions are updated. Those two alone can take care of a big portion of the expenses,” Sabitsana noted.
She also reminded parents about the Malasakit Centers in government hospitals, where qualified patients can access financial assistance from multiple agencies in one place.
“Too many parents miss out on these benefits simply because they don’t ask or don’t know what’s available,” she added.
Step 6: Align Your Budget for the Future
Finally, Sabitsana emphasized that the baby budget doesn’t end at delivery.
“After maternity leave, some households shift from dual income to single income. Start practicing that lifestyle early so the transition won’t be a shock,” she said. “And if you’re able, look for side hustles or additional income streams to cushion the adjustment.”
Final Takeaway
Raising a child will always involve expenses, but with planning and awareness, Filipino families can keep costs manageable. From setting up a baby fund and building an emergency cushion to maximizing insurance and government benefits, the financial burden can be reduced.
As Sabitsana put it in her interview with Financial Adviser PH:
“Parenthood is already a big adjustment. If you prepare your finances, you can focus on the joy of raising your child instead of stressing about the bills.”
