Financial advice geared toward single women is more important than ever before. Roughly one-quarter of all households are currently headed by a single woman, with family sizes ranging from no kids to more than it might seem financially feasible for one woman to raise on her own. Further complicating the situation is the fact that the majority of these female-led households have a smaller income and smaller savings than households of similar size led by men or couples.
Although no one likes to think that there is such a clear difference between income levels based on sex, most single women do have a more difficult time making ends meet; they make roughly half of the national average for other households of their size. Whether they are experiencing discrimination in the workplace, struggling to raise a family, or dealing with the aftereffects of divorce, it can be difficult to gain a solid financial foothold in today’s economy and society.
Fortunately, there are financial advisors who specialize in assisting women who support themselves financially. In addition to taking a unique approach that makes it easier to save without substantially cutting back living expenses, they can provide more realistic solutions for the long-term, as well – ones that take into account the struggles of getting by on one salary when faced with rising healthcare and childcare costs.
What Can Single Women Do to Save?
The most important thing single women can do for themselves financially is to simply do something. It may not seem like much, but even sitting down and creating a list of goals for the future can be a vital first step.
Step One: Figure out your current financial situation. How much money do you have coming in every month? How much money is going out? Where are there potential areas to start saving – even if it’s as little as a few dollars per month at first?
Step Two: Find a way to save. In order to get started on most savings and investment plans, you typically need to have a small amount in hand (at least several hundred dollars). A financial advisor will be able to help you discover where to cut back to make those savings so that you can start investing earlier.
Step Three: Invest. Single women without kids tend to be bigger risk takers than single women with families – at least when it comes to investing. That’s because they don’t necessarily have the day-to-day pressures of taking care of children. But the good news is that there is no one answer for single female investors. Whether you want to take advantage of a high-risk hedge fund or you’d rather rely on low-risk bonds, there are financial solutions that will help you get the results you need – many of which you may not have considered before. In fact, some single women are surprised find that purchasing a home or making another large “dream” purchase can not only create a better standard of living, but can also be a sound financial investment.
Finding the Right Financial Advisor
Choosing a financial advisor to help you make smart decisions for the future is much like choosing someone to date; not only do you need a relationship you’re comfortable with, but you need to feel confident that your advisor is doing everything he or she can to create the best possible outcome for your entire family.
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