5 Money Saving tips for Single Women!

Financial security is especially challenging for single women–whether they be never married, divorced or widowed. These women don’t have a second income to count on and need to plan accordingly in case the salary from their job is no longer available.
Here are a few important points to consider–

1.Single women may take serious steps toward financial planning by beginning a retirement account and contributing liberally whenever possible. Single women in their late 20s and early 30s who save between 5 to 7 % of their earnings can prepare for a more comfortable retirement, as suggested by Single Minded Women.

2.You’ll also want to commit to financial planning by opening a savings account and contributing regularly; avoid connecting the account to a debit card to remove the temptation to tap into savings.

3.Apart from the traditional stock market and retirement fund investing, single women might want to broaden their financial opportunities by buying a home or starting a small business. Buying a home can be trickier for single people because you’re not combining income with a spouse; but, there isn’t any rule which says you can’t partner with a trusted sibling or parent to get a home. Home ownership can provide a sense of security, but you’ll also get access to important tax deductions like real estate taxes or interest on tax returns.

4.Most couples are advised to set aside 3 to 6 months’ worth of living expenses in case they have to deal with a job loss, medical emergency or any other financial setback. However, in the case of a couple, there is a chance that one of the partner’s income will still be available. For a single woman, if her income is terminated or some other financial crisis occurs, she will have no other income to fall back on. So, it would be wise for any single woman to set back more than the traditional 3 to 6 months’ worth of living expenses.

5. If your employer offers disability insurance, you should sign up as soon as you are eligible. Most disability insurance policies replace 60% of one’s income if you become disabled and cannot work. This insurance is absolutely vital to all single women and is usually fairly inexpensive to purchase.Unless you have someone dependent upon you, such as elderly parents or children, who would be destitute if you died, you do not need to purchase life insurance.

If you become divorced or separated from your partner, be sure to remove him/her as a beneficiary on any policies or financial accounts that you might have.