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Celebrating Mother's Day

May 10, 2024

As Mother's Day approaches, I find myself reflecting on the journey of motherhood intertwined with the challenges and triumphs of managing finances as a single mom post-divorce. It's a balancing act that requires patience, perseverance, and a lot of planning. Today, I want to share some financial tips that have empowered me to face the future with confidence and ensure financial stability for both myself and for my kids.

Embrace Your Financial Independence

First, recognizing your new financial landscape is crucial. Post-divorce, the responsibility of managing household finances may feel overwhelming. I took it as an opportunity to embrace my independence and make informed decisions that reflected my family's needs and goals. Start by assessing your financial situation—understand your income sources, monthly expenses, debts, and savings. This clear financial snapshot is your foundation for all future planning.

Build Your Liquidity

One of the most crucial lessons I learned was the importance of having money available to me at no cost. Life is full of unexpected events, and having a financial cushion can prevent these from becoming crises. Start small, aiming to save three months' worth of living expenses, and gradually increase this as you can. This fund is for true emergencies: unexpected medical bills, urgent home repairs, or sudden unemployment.

Prioritize Debt Reduction

Once you have three months' worth of living expenses set aside, the prioritize debt reduction.  Managing debt effectively ensures that more of your resources can go towards your family’s future rather than to creditors. List out all your debts, from the smallest to largest, and focus on paying off high-interest debts first. Even small, consistent payments towards your debts can lead to significant savings on interest over time, which can be redirected towards savings or other financial goals.

Invest in Your Future

As a single mom, thinking about the future involves more than just your own retirement. It's about ensuring your children won't need to help you financially in the future. If possible, contribute to your retirement savings regularly but only as much as your employer will match. Even modest, regular contributions to a retirement account can grow significantly due to compound interest. Look for other places to save for your retirement that will work efficiently for you when you need retirement income.  Schedule time with me here to discuss how I can help you plan for your retirement income. I can help you understand investment basics and make informed decisions that can increase your long-term financial stability.

Educate Yourself Financially

Knowledge is power, and financial knowledge is no exception, I talk about this a lot! Take time to educate yourself about financial matters. When you work with me, I provide resources to help you learn more about your situation. I host workshops with other women who are going through the same thing you are, so you know you’re not alone. The more you know, the better equipped you’ll be to make decisions that maximize your financial health.

Celebrate Your Achievements

Take time to celebrate your progress, no matter how small. Every step you take towards financial stability is a reason to celebrate. This Mother’s Day, acknowledge the hard work you’ve put into managing your finances and the courage you’ve shown in navigating single motherhood.

Remember it's not just about managing money—it's about creating a stable and prosperous future for you and your children. By taking control of your finances, you not only protect your future but also set a powerful example for your children of what it means to be resilient and self-sufficient. Cheers to all the single moms out there making it happen, today and every day!