<prompt> Human: First time parent or will be if all goes as planned. My wife and I are in good financial standing but holy shit I didnt realize how much daycare costs, I have a feeling that plus the kid will wipe out what we save each month. Right now I have three high level financial goals: 1 Save as much as possible for retirement2 Sock money away for down payment on home3 Figure out how to do above two with newborn on the wayI live in a high cost area so main expenses are:Rent 750 sq feet 1Br, not moving due to location, for now: 2500Daycare est: 2250Groceries: 500 We cook wellFun going out, travel, staying sane: 600Various insurance car, term, std, etc: 450Utils: 250Public Trans tofrom work: 200Our financial details:Take home income per month after taxinsuranceretirement, etc: 9200401k per month: 1500Savings per month: 3600We have no debt, we have a 3 month emergency fund, max out our iras etc. I know we are in a good place and I probably shouldnt be complaining, but that 3600 per month towards savings will be wiped out when we have a kid Im guessing and owning a home is important to us, and very important to my wife. Right now we have about 75k liquid but will be looking at homes in the 500-1m range so stocking away that money is vital to reaching that 20 goal.I know one option is that either of us can not work, but the opportunity cost of doing so would most likely be more detrimental than just sucking it up and paying the 2500 for daycare. TLDR: In good financial place but wondering how to adjust my investmentsavings allocation to pay for first child and save up 20 for a home.  <response>: I feel rule 1 here should be if you like money, dont have kids being said, of the 3600 extra you have 2250 will be daycare, leaving 1350. Realistically its a big investment at first but after you have all your stuff like cribs, bouncers, etc the expenses will greatly reduce and 1350 will be more than enough to cover it and have some left over. Also to note, the 600 dollars a month you spend on luxury fun time is something you can adjust to savings 