A Detailed Guide To The Costs Of Having A Baby In Malaysia

Bringing new life into the world is a beautiful thing. What may not be so beautiful however, are the financial commitments that come alongside your little miracle.

Parenthood is an intimidating chapter for new parents. The responsibility can render you too paralysed to even think of what’s to come – let alone calculate the rough costs involved in having a baby.

But don’t let parenthood take your bank account by surprise! We’ve compiled a handy guide to help you estimate the costs of parenthood here in Malaysia.

1. Cost Of Preparing Your Home For A New Baby

2. Cost Of Giving Birth In Malaysia

3. Cost Of Maternity Insurance

4. Cost Of Essential And Non-Essential Baby Items

5. Money-Saving Incentives And Initiatives For New Parents

6. Baby Steps: Cutting Costs One Step At A Time!

Cost Of Preparing Your Home For A New Baby

Before your third trimester, you’ll probably already be feeling the pinch in your finances. Getting the house in order requires a lot of consideration as to what’s best for the baby in both the immediate and long-term future.

To preface, all the costs stated are only estimations for new first-time parents. A lot of variables go into determining how much having a baby will cost, and even then it’s still unrealistic to expect that you’ll be able to calculate the costs to a T.

1) All the extra space

For many couples, the arrival of a baby may mean having to move.

You might need a bigger property to accommodate the extra headcount, or have to relocate somewhere nearer to your parents/in-laws who will be spending a lot of time helping to care for the little one.

It could even be an opportunity to upgrade to your dream home! If so, the cost of the new home plus the cost of moving will have to be accounted for.

Even if you’ve got no plans to move in the foreseeable future, you’ll most likely need to allocate a room for your parents/in-laws if they will be helping out with the baby often – not to mention the baby’s room too, of course.

2) Furniture and setting up the nursery

If you have the financial means to afford a nursery or baby room, the costs involved include:

2a) Baby crib

Most baby cribs in Malaysia range between RM200, up to RM1,000 and more. If you have a hand-me-down available, great!

If not, you can check out second hand platforms such as Mudah and Carousell, or simply ask friends/neighbours/relatives if they happen to have a preloved one.

2b) Crib bedding

All the soft, comfy things that go into the crib cost money too. You can expect to pay about RM60 at the very least for a good quality set of crib bedding with mattress, pillows and blankets included.

2c) Storage solutions

Your nursery room will also need a cupboard or chest of drawers to organise all the miscellaneous things the baby will need. This doesn’t have to be newly purchased.

2d) Nursery revamp and decor

Being able to provide your baby a room of his or her own is a wonderful privilege. If you have the financial means to do so, you may choose to go the extra mile and breathe some life into the nursery too.

Basic interior design (new coat of paint, wallpaper, rugs, kiddie decor, etc) will likely amount to a few hundred if you’re going the DIY route.

2e) Baby-proofing

Accidental injuries are one of the leading killers for infants and children ages 1-4 in the USA. Many parents choose to start baby-proofing before the baby is due, so the baby can come home from the hospital straight into a safe home.

It helps to have a checklist for each room too as each room has its own hazards. Here’s a rough picture of what it might cost to baby-proof your home.

2f) Cleaning the house

Infants are particularly susceptible to allergens and bacteria that we live with daily. The health risks to babies from house dust may be 100 times greater than for adults.

Cleaning might not cost much financially if you already have all the supplies, but it’s definitely something you’ll have to factor in.

Below is a handy checklist of some often forgotten areas of the house to clean that could be potential hazards:

• Carpets, rugs

• Fans, air-conditioners, and blinds which are prone to collecting dust

• Kitchen surfaces, tools, and cutlery

• Sheets, pillows, and bedding (both yours and baby’s)

• Baby’s feeding equipment

Hiring a part-time cleaner is definitely an option too! Hourly rates for part-time cleaners in Malaysia typically range from RM40 to RM60 per pax.

Cost Of Giving Birth In Malaysia

The bulk of the initial costs of pregnancy and parenthood will no doubt come from the medical front.

Keep in mind that the rough costs in the table below are only estimates, and the price that you might end up paying will differ greatly depending on your hospital, doctor and a ton of other factors.

That said, it pays to be safe and have a thick financial buffer in place, in case of complications, extra tests, procedures which may need to be done.

Cost Of Maternity Insurance

For most health and medical insurances in Malaysia, coverage doesn’t extend to just maternity/pregnancy costs.

While it’s not mandatory, maternity insurance may be something you want to consider given all the possible complications that may arise.

1) What is maternity insurance?

Maternity insurance is a form of insurance which provides coverage in the case of pregnancy or delivery-related complications, newborn death, and congenital illnesses.

In Malaysia, you can purchase separate maternity insurance plans as is, or pay extra for maternity coverage riders to add on to your existing health insurance.

2) What does maternity insurance cover?

Coverage for maternity insurance can typically be categorised into coverage for the mother and coverage for the newborn.

Depending on your plan, some might cover both or just one. We’ve compiled the table below to give you an idea of what’s usually covered.

What’s typically not covered in maternity insurance are the regular costs associated with pregnancy, labour and delivery.

3) How much does maternity insurance cost in Malaysia?

Average premiums for maternity insurance in Malaysia start around RM100, and can go up to approximately RM800+ per month.

Bear in mind: Premium costs will vary depending on the mother’s age, health status and past medical conditions.

Cost Of Essential And Non-Essential Baby Items

With the bulk of the bigger costs covered, it’s time we take a look at the itty-bitty purchases. But don't you underestimate the costs.

Those itty-bitty purchases may not be as affordable as you may think – especially not when you add them all up!

Though this list may seem endless, these miscellaneous baby necessities are precisely where you’ll find opportunities aplenty for you to get creative and find ways to save.

Money-Saving Incentives And Initiatives For New Parents

At PropertyGuru, we’re always advocating for Malaysians to look for ways to save money wherever possible - that goes for parenthood too!

New parents and parents-to-be will be glad to know that there are government incentives in place that offer payouts for new mothers and newborns, with most of these being state-based.

For citizens classified under the B40 category, there are various initiatives in place to help alleviate a little bit of the financial burden.

Below, we’ve compiled a handy table of the incentives and initiatives available for new parents in Malaysia, but you’ll no doubt be able to find even more with a little sleuthing.

Baby Steps: Cutting Costs One Step At A Time!

When it comes to your precious loved one, it may feel conflicting to be thrifty. After all, parents want the very best for their child and nothing less.

But as with all other commitments in life (marriage, property, education), you can save wisely without having to compromise quality of care. Below are a couple of tips on how to save on baby expenses.

• Ask friends, family and colleagues with children for unused items (after all, infants grow up)

• Talk to experienced mothers on how they managed to cut costs

• Take it easy on high-turnover bitty baby buys (shoes, clothes, toys)

• Stick to the essentials, and always choose quality over quantity

• Pay down as much debt as you can before pregnancy

• Start saving and planning as far ahead as possible

In the end, being well-prepared will pay off when you welcome your baby into the world. Being able to worry less about your finances will mean you can channel more energy into raising your child to the very best of your abilities!

Relevant Guides:

• The Psychology Of Colour For Interior Design Ideas

• Home Renovations – How To Plan Your Budget For It

• How To Buy A New House in Malaysia: 10 Simple Steps!

• The Complete Guide On Buying A Subsale Property In Malaysia