This is the third and final part of a series we have published to assist women in this month that we honour them. We have introduced women to basic financial rules and advised those who have partners, to take an active role in the finances of the couple. This article looks at useful advice for single women and in particular single Moms.
It is a sad reality that in this country some 50% of children are fatherless because their Fathers have left or are simply not able to be with them most of the time. This means there are a lot of single Moms who are sole breadwinners for their families.
It is very difficult to give financial advice to those who are living day-to-day and barely able to make ends meet, but what advice can I offer? Fortunately the same basic rules of finance apply to everyone, those who do not earn much to those who are highly successful.
Get a safety fund
No matter what it takes, small savings here and there, or any time you get a bonus or a windfall, save, save, save! Do not spend the bonus or windfall until you have created a safety fund of at least three months of your gross monthly salary. This is the first rule of starting a new business and the great entrepreneurs all agree, is also the first rule for any household and family unit.
Save to invest
Following on from that – having gotten into the savings habit, involve a wealth creation expert to assist you to continue saving and invest wisely. Putting your savings in the bank will prevent you from keeping up with inflation and your savings will be eroded. Partner with a good Financial Advisor to ensure any money you have saved is working for you!
Expect the unexpected
Do not let your savings be eroded by life’s ups and downs! If COVID-19 taught us anything, it was that we have to expect the unexpected and the consequences can be devastating. Having important wealth protection policy insurances in place, like a good medical plan, dread disease, disability and income protection ensures that your savings cushion and wealth creation remain untouched in such times.
Plan for the future
Plan for your old age by saving in tax-saving Retirement Annuities (RAs) and pension funds, every little bit helps and the sooner you start saving, the better.
Talk to me about retirement planning, trusts and other astute estate planning that will ensure that your children benefit fully, without complications, from the legacy you have been able to provide.
I can help
Quintus Wealth with our ‘Five key milestones to financial wellbeing’ can create a unique integrated wealth management strategy for all our clients, from single women to married Home Executives, to great female entrepreneurs wishing to maximise their wealth creation.
Talk to me about your unique financial circumstances, challenges and aspirations and let’s work toward every woman in this country taking an active, essential role in their or their family’s financial well-being!