7 March 2012 Expectant Brisbane Parents Learn the ABC of Babenomics With Australia in the midst of the biggest

baby boom in its history, Suncorp Bank is providing tips to soon-to-be Brisbane parents on how to be financially prepared and avoid the baby blues. The Australian Bureau of Statistics estimates babies are currently being born at a rate of one every 107 seconds and final birth figures for 2011 are expected to top 300,000* 50,000 more than the number born at the peak of the original baby boom in 1961. Suncorp Bank Regional General Manager for Brisbane Central Darrin Hanigan said first-time parents often underestimated the expense of a new baby. The cost of medical bills, food, clothes, change tables, nappies and prams can add up to a small fortune, Mr Hanigan said. If one parent intends to give up work, the task of stretching the weekly budget to incorporate a new family member becomes even more of a challenge. Its especially important in the current financial climate for couples to be well prepared but as with most of lifes milestone events, preparation is the key. A well thought out plan of attack will allow new parents to enjoy this new stage of life free of financial stress. Suncorp Bank has developed five top tips for expectant parents: 1. Cut the baby fat from your budget Work through your statements for the past three months and review how youre spending your money. Set up a separate account for bills, remembering to allocate funds towards yearly and quarterly bills as well as monthly bills. Work out what you cant live without and where you can cut corners if necessary. Use an online budget planner to help you do this. 2. Create a baby buffer Establish a savings fund that will cushion the blow of unexpected events or expenses. In addition, its a good idea to save six to 12 months in rent or mortgage repayments, depending on how long you plan to take paternity / maternity leave. A $200,000 mortgage at 7% for 25 years will need repayments of about $17,000 per year. 3. Do your homework Consider hospital and medical costs and check what youre covered for and what youre not. Do you have private health insurance? Under the Federal Governments new scheme eligible working parents can receive 18 weeks of government funded Parental Leave Pay at the rate of the National Minimum Wage (currently $589.40 a week before tax). You may also be eligible for some family tax benefits.

Suncorp-Metway Ltd ABN 66 010 831 722, Australian Credit Licence Number 229882 GPO Box 1453 BRISBANE QLD 4001

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4. Block out the baby sales babble Having a baby can be like getting married, everything attracts a surcharge and there is an endless list of products and services available to purchase. Do your research and ask other parents what was useful and what they rarely used. Look for second-hand items and remember babies quickly grow out of new clothes. 5. Look to the future Baby expenses dont end when babies grow up. Its wise to start saving for future expenses such as school fees as soon as possible. A little saved each week now will help ease future financial headaches. Consider setting up a high interest online savings account or put some money aside in a term deposit to make your money work harder for you.
* Australian Demographic Statistics Table - www.abs.gov.au/AUSSTATS/abs@.nsf/DetailsPage/3101.0Jun%202011?OpenDocument

Media Contact: Kathryn Stevens Sequel Communications (07) 4162 1021 or 0403 090 912
About Suncorp: Suncorp Group includes leading general insurance, banking, life insurance, superannuation and investment brands in Australia and New Zealand. The Group has around 16,000 employees and relationships with nine million customers. It is a Top 25 ASX listed company with over $95 billion in assets. Today Suncorp is Australia's leading regional bank, largest domestic general insurance group, and second largest in New Zealand and has representation in 450 offices, branches and agencies throughout Australia and New Zealand.

Suncorp-Metway Ltd ABN 66 010 831 722, Australian Credit Licence Number 229882 GPO Box 1453 BRISBANE QLD 4001

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