Plan to Save Money
You must first Plan to Save Money in order to develop a Financial Plan and Priorities.
According to Single Parenting facts and statistics, single women are the head-of-household in the vast majority of single parent homes. They are earning an average of $27,00 a year.
According to national census, only 45% of custodial parents receive the full amount of their child support, which averages about $5,700 a year.
Raising oneself on this figure seems daunting even to a single person today. To a single parent family with single parent financial struggles, it may be impossible at times.
The single parent needs a Plan and financial support and methods to achieving better finances. If you are in financial distress now, I highly recommend the Save Money Have a Financial Plan with Rattiner's Financial Bible: The Advisor's Advisor
A Budgeting Plan encourages single parents to understand and maintain their financial affairs.
Many just don't know or understand what should be coming first, second, third, etc. on the road to Save Money. You need to first track all---and we did say ALL-expenses on a spreadsheet. If you just don't get it when it comes to budgeting try this revolutionary online personal budgeting system. It allows you to easily mange your finances and to get a budget going the right way. It comes with a 30-day, no risk FREE trial. After the free trial, it is just $9.95-$15.95 per month, depending on the program you choose. $10.00 per month is better than a $400.00 evaluation from a Credit Counselor.
Along with my budget plan software, I used my budget book
Rattiner's Financial Bible: The Advisor's Advisor resource.
I learned how to allocate my money.
I also learned why it was imperative to have what we call "the emergency cash stash plan". It showed me that savings is the next priority, This was when I decided to open a Savings Account. I did what he said and attached a Debit card to it. I found the card that paid most and found that many banks now give points back for spending on your card.
This will vary according to how much you use it, and state to state policy. I have earned up to $40 in a year by using mine and that only. I used nearly no cash or checks. I paid online when possible (usually free). I use an online service for my banking. I am able to use Direct Deposit, and I send there. It earns approximately 1.9% more interest than any other I am familiar with. My Checking and High-Yield Savings accounts are FREE! You just have to look for one that works for you.
That money goes for our Vacation each year, along with the interest, and savings packages, plus buying in advance to save even more.
We suggest to not having a credit card
Some family's feel they just have to have one. If you are one of those, you should always avoid carrying any balance. That's right, none! Pay it completely every billing or you will begin a slide into indebtedness. I will again suggest this option. Almost every single saving or checking account offers that debit card. The money comes out of your account, you owe nothing to anyone.
There are numerous tax breaks for single parent homes.
We have a larger list on the site for those, but will summarize here. Single parents, who file as head of household, usually pay a lower tax rate and are entitled to a higher standard deduction than single taxpayers and married couples filing separately.
Parents may also be able to take a $3,200 exemption for each qualifying child, plus a $1,000 tax credit for each child younger than 17 at the end of the year. If you pay daycare you are entitled to a dependent-care credit up to $3,000 for one child younger than 13, and up to $6,000 for two or more.
Network with other single parents
Support for the single parent is crucial. Extended family, Neighbors, Church, other singles parents at work, neighborhood associations, other single parents groups, PTA friends, so many other. Some will even split some day care or barter another
service with you...saving more money.
As a single parent you may always be on a very tight budget, but that is okay
*Always keep your account balanced. This is where using a debit card can help you again. You can only spend what is in the account.
*You just have to learn to alter your patterns of spending. Refuse to live by your impulses, rather by your priorities. Ask yourself, "Do I want this, or do I need this?" Learn the difference in a necessity and a luxury.
*Never pay full price. The Clearance Rack is the first place to start. If I find nothing then I am allowed to look elsewhere.
*Consolidate purchases when possible for better deals.
*Consolidate trips outside the home. Car maintenance and gasoline will never get cheaper, count on that.
*If you pay more than $30.00 per month in long distance charges, buy the phone company's "All in one Plan" as it will save you lots of money.
*Use coupons at the grocery. Buy meat in bulk and freeze it, especially when it goes on sale. Do not (in most cases) be afraid to buy "marked down" meat. They are strictly regulated and fine if cooked that day.
*During the summer months, when nothing good is on TV, cut back to basic cable or none at all, and watch the DVDs. If you must have it, get a package deal to save money.
*Use the Surplus stores in your area. We have one for bread, one for non-perishables, and of course the Mart type bulk stores.
*Teach your children to save too. Show them how the shelf labels work in the grocery. You know...store brands are less than name brands because of the name not the ingredients.
*NEVER pass up a FREEBIE!
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