Monthly Archives: June 2016
It is normal for women to feel economically insecure given the higher rate of divorce followed closely by worldwide recession. Divorce has a quantity of consequences for a single mother as she drops her economic security to a sizable extent. So, even when everything is going easy in your lifetime, you shouldn’t wait to economically plan your future and save to make the future of one’s children safe because it is very difficult for an individual mother to improve her kids in the manner she wants. If you’re currently a single mother and carrying it out, continue reading to understand some financial tips meant only for you:
1. Income and Spending: Food, education, medication, insurance, clothing and gasoline form the majority section of your monthly expenses. Make a summary of your monthly expenses on all of these groups and your expected income. This will help you to obtain a concept of the expenses that may be cut without affecting your lifestyle. Look for new and smart methods to save your self as you spend on necessities. Online buying and coupons and codes could be a smart way to locate great deals for the everyday needs and save plenty of money.
2. Life Insurance: Through life insurance plans you can protect the future of one’s child by preserving through annual installments. There is not any certainty of life. This escalates the need for having a great life insurance cover. You can ask your agent for specific insurance policies that are intended especially for single mothers because they have better terms and conditions than regular policies. Compare a number of them before finalizing the very best one for you and your children. In case you’re unable to pay yearly premiums, you may also choose policies that include installment plans
3. Health Insurance: Numbers all over the world show that women have a greater risk of getting health problems. You may also blame it about the biological factors including pregnancy in addition to post pregnancy health problems. A health insurance cover can reduce your anxiety in moments of medical emergencies. This may be the purpose, you should never disregard the significance of having a great health insurance cover for not only your self but for your kids too. Unforeseen medical costs can cause great financial strain in your sources and a health cover can help you sail past those times.
4. Investment: You shouldn’t under-estimate the ability of trading for extra income. Look for investment choices that perhaps not only offer good results but also offer tax exemptions. This investment can be saved as emergency fund, training fund if not as retirement fund in your bank account.
Apart from following above guidelines, making a regular budget will also allow you to keep a monitoring of your expenses. Being just one mother provides more economic responsibility upon you and it’s your responsibility to make the absolute most out of one’s earnings and savings. It is better to keep your past behind and fight all obstacles that may come in your way in obtaining a safe future for your children. If you don’t have an excessive amount of information regarding how to begin planning, it’s better to consult professional financial advisors for the help.
At times the turbulent waters of finances can be difficult to navigate. Doing it alone, with no help or guide, can be even more challenging. So here are ten of the most common financial mistakes people make and why you need to be mindful of them in your life.
Not Making or Keeping to a Budget
Having and sticking to a budget can do wonders for your financial stability. Some have compared a budget to a road map. Instead of wondering where your money goes each and every month and scratching your head about why you are 200 dollars short for the month, you can know what you need to spend and where it will go. Far too many people do not have a budget or cannot stick to the one they have.
Credit Card Payments
If you pay your credit cards on time and can pay them off each month that is great. If you cannot pay them off fully, you need to try and at least pay more than the minimal payments each month. Many people get into financial trouble because they do not pay their credit bills on time or miss payments all together, which can wreak havoc on your credit score and ruin your financial future.
Not Seeking Help
Money may be a topic most avoid, but there does come a time when you need to talk. When you are drowning in your debt and cannot keep treading water, it is time to call out for help. Unfortunately, many people do not look for help with debt consolidation and negotiating better loan terms until it is too late.
Not Knowing Your Credit Report
Having a bad credit score can also sink you financially. Many people do not check their credit reports to see what is there and are surprised at what is found when a bank or lender checks the report. Being informed about your financial standing will go a long way in helping you out.
Not Planning for Emergencies
No one likes to think about it and at times it can be next to impossible to save anything, but whenever you can you need to squirrel money away for emergencies. The car breaks down, someone needs to go the ER, or something else big happens, and you need to be as prepared as possible so it does not put you that much further behind financially.
Buying Out of Your Means
One of the top reasons people get into debt trouble is that they buy outside of their means. Whether it is a house, car, boat, RV, computer, entertainment system, or anything else, many people spend much more than they can actually afford. They get a loan that they struggle to pay back and end up buried under the debt.
Not Carefully Reading the Terms of a Loan
It is important to keep your finances organized and one of the best ways to do this is to review all of your statements and notices. When you apply for a loan or a line of credit, review everything carefully. Many times people get trapped in a loan with a huge interest rate attached to it and that can be enough to sink them.
Not Being Diverse With Investments
Money can make you more money when it is invested wisely but far too many people stick their money into just one account or investment. Whatever you choose- stocks, savings, CDs, or other investments, it usually is a good idea to divvy your money up between several different options. This can also protect you in case one investment goes sour.
No Plans for Retirement
Whatever your intentions are for retirement, you need to do what you can to save and plan ahead for that time of your life. Get a credit check regularly to know where you stand financially. Get a savings started for when you retire. It may be 40 years down the road, but the time to start planning for it is now.
Not Having Plans for the Family When You Are Gone
Getting a life insurance policy is one of the best things you can do to help protect your family’s financial security when you are gone. Humans do not like to think about death but it is something we need to try our best to plan for, if only for the sake of our family.