As a single parent, you might face a series of emotional challenges in the process of raising your child. Additionally, there are some needling financial issues to deal with as well. Staring down at a mountain of debts, making the best of the budgetary choices and sticking to them---- you’ve to face all this alone. Much as it is difficult to do all this without a partner, please remember that you’re the sole decision-maker here. You do not have to argue with another individual about your financial choices or ways in which you would like to adhere to a budget. Being on course with your household money, as a single parent, can turn out be an ordeal in the face of the crippling economy. However, a few tips on ways to manage money as a single parent might be of help. So, read on to know more in this regard.
Financial Accounts
Make sure that you have access to your financial accounts: You cannot really be blamed if you had completely relied on your partner for the minutest of financial choices earlier. However, when you have separated and are in complete charge of your finances you should act more discreetly. Your partner might have had access to your financial accounts about which you yourself had little knowledge. Make sure that you aren’t hesitant about redeeming those passwords from him/her. You have a tough road ahead. Make sure you’re well armed and not in need to start everything from scratch.
Debts
Formulate a plan to pay off your debts. In the year 2011, the Federal Reserve pointed out that the amount of debts in the US had totaled something around $2.5 trillion dollars. Consumer debt has peaked to an all time high in the recent years. You can either be a part of this statistics or else not fall in to debt at all. Though it sounds incongruous, but there are instances whereby single moms receiving minimal child support have actually been able to lead a debt free life. Some of the measures which have helped them in this regard are:
· Division of bills by paychecks so that it is easier to keep track of the major expenses
· Putting half their paycheck in to the savings account for rent (so that it’s not easy to access the money for any other purpose)
· By coming up with easy breakdowns of money to be spent each day when the going gets tough
However, if you’ve fallen in to too many debts you can take recourse of the debt consolidation services if at all your debts qualify for the same. Make sure you’re choosing the company providing such services carefully. Educate yourself duly about the process, read reviews of debt consolidation service providers and then settle for one.
Emergency Funds
Create an emergency cushion. This, at once, might sound incongruous amidst all the expenses you’ve to deal with. But once you’re on track with your money, make sure that you’re keeping aside a small share of your earnings in the emergency fund. Do not turn to it for meeting relatively minor expenses. Keep them for encountering dire emergencies.
Financial Accounts
Make sure that you have access to your financial accounts: You cannot really be blamed if you had completely relied on your partner for the minutest of financial choices earlier. However, when you have separated and are in complete charge of your finances you should act more discreetly. Your partner might have had access to your financial accounts about which you yourself had little knowledge. Make sure that you aren’t hesitant about redeeming those passwords from him/her. You have a tough road ahead. Make sure you’re well armed and not in need to start everything from scratch.
Debts
Formulate a plan to pay off your debts. In the year 2011, the Federal Reserve pointed out that the amount of debts in the US had totaled something around $2.5 trillion dollars. Consumer debt has peaked to an all time high in the recent years. You can either be a part of this statistics or else not fall in to debt at all. Though it sounds incongruous, but there are instances whereby single moms receiving minimal child support have actually been able to lead a debt free life. Some of the measures which have helped them in this regard are:
· Division of bills by paychecks so that it is easier to keep track of the major expenses
· Putting half their paycheck in to the savings account for rent (so that it’s not easy to access the money for any other purpose)
· By coming up with easy breakdowns of money to be spent each day when the going gets tough
However, if you’ve fallen in to too many debts you can take recourse of the debt consolidation services if at all your debts qualify for the same. Make sure you’re choosing the company providing such services carefully. Educate yourself duly about the process, read reviews of debt consolidation service providers and then settle for one.
Emergency Funds
Create an emergency cushion. This, at once, might sound incongruous amidst all the expenses you’ve to deal with. But once you’re on track with your money, make sure that you’re keeping aside a small share of your earnings in the emergency fund. Do not turn to it for meeting relatively minor expenses. Keep them for encountering dire emergencies.