Single parents are often faced with double the work and double the stress – and half the income. However, with careful planning and discipline, it is possible to set the foundation for a secure financial future for you and your children.
We’ve rounded some of our best tips for single parents:
- Don’t overcompensate by buying your children expensive gifts. Two of the best gifts you can give your children? Your time and teaching them through your actions how to manage and save money.
- Create realistic budgets and educate your kids. Talk to your kids about the household budget and help them understand what money is available for necessities and wants.
- Pay for the necessities first, i.e. bond repayments or rent, food, school fees, school uniforms and so on.
- Be focussed on paying off debt – don’t let it accumulate.
- Save even a small amount every month. When invested in the correct savings product, your savings could yield good returns in a few years. Find out more about our Tax Free Investment.
- Look for ways to make additional money where possible – there are numerous ways to earn extra cash if you are savvy and dedicated. Think about what skills you have to offer and how you could possibly use these to earn extra cash.
- Consider applying for a fees exemption from Government ¬– there is a possibility of getting a full or partial fees exemption off annual school fees.
- Downgrade if you need to – have a look at the type of car you drive, where you live and where you shop. It may also be a good opportunity to sell what you may not need and use the additional cash to invest or save.
- Don’t take on unnecessary debt – remember that you pay interest on personal loans and retail accounts and in the end, you are paying far more than if you had bought the item with cash. Before signing any new contracts, make sure you understand your rights when applying for a loan.
More tips to help you build towards a solid financial future:
About African Bank
Our mission is to be a successful Retail Bank offering a wide range of products and services to the consumers of South Africa. The people who work for African Bank represent the diverse population of South Africa; therefore we are a reflection of you, of all South Africans. We seek to provide value - more than our consumers expect of us. We promise to live our purpose 'humanity through banking' in all that we do and we are confident that we can, because 'We are You'.