Spending and Saving Advice for Single Moms

There are many single moms today that are working hard to pay their bills, take care of their children and put a little bit aside for retirement and a ‘rainy day’.  It’s tough, no doubt, so with that in mind we put together a little list of some of the best Tips and advice that single moms can use to stay on their single mom budget and save as much as possible.

First, if you don’t know how to use a computer and make an Excel spread sheet you’d better take a class at night school.  Being able to keep track of what you make and what you spend is vital to being able to save more of your money, and an Excel spreadsheet is the best way to do that.  It will show you where your money is going and what you can do to keep more of it in your bank, both very important for a single mom.

The fact is Moms, if you don’t have a clear idea about what’s coming in and going out and also where it’s going you’ll never be able to save any substantial amount of money. Knowing where your money goes is the first step in knowing where there are saving possibilities. If you have problems understanding something ask the people at your bank to help you. That’s what you pay them for.

Single moms need to have plenty of life insurance by the way but nearly 40% have little or none.  The fact is, especially if your kids don’t have a father in their lives, that if you die they’re going to be in trouble unless you have set up insurance to help them out when you’re gone.

Speaking of which, building a 4 to 6 month savings ‘cushion’ to cover the bills should you get sick or lose your job is an excellent idea.  You should have your employer take at least 5% out of your check and deposit it into your savings account directly and, whenever you can, throw a little more in there for safe measure.

No matter what you do every year at tax time (and it’s coming soon) speak to an expert and get as many tax deductions, breaks and reductions as you can.  Depending on your income and how many kids you have this could be a substantial amount of deductions and could mean a substantial amount of money saved.

Finally, don’t abuse your credit cards.  Listen, money is tight already so unless you a) need it or b) you’re going to need it soon just don’t buy it.  We know that kids want, well, everything, but the fact is that you have to be firm and not give in sometimes.  They will survive, we promise, and for that matter so will you, so put that plastic away and use it only in emergencies.

2 thoughts on “Spending and Saving Advice for Single Moms

  1. Pingback: Carnival of Personal Finance #399

  2. Pingback: Dwindling Debt – Great Tips for Cutting Expenses in Retirement

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