Raising children is not easy especially if you are a single mom or dad. There are so many aspects to look after. There is education, medical treatments, insurance, daily household expenses, retirement benefits and lots more to take into consideration. It is not a job for a person who is not meticulous in planning and its execution. You must know how to deal with this immense task of responsibility in which you have to balance your job as well as rearing your child or children.
Sometimes you may get some help from your close relatives and family, but that is not enough when you face financial stress in managing your debts. Therefore, you must know the available options so that you can manage your finance and stay out of debt as well.
There are several federal, state and local programs that you may avail to ease your financial burden along with some nonprofit help. Most importantly you must follow the useful and very useful DIY budgeting tips to stay on the right track to meet your financial goals.
Going by the statistics
You must not stress yourself if you are a single parent and experience the pressure of being in debt as you are not alone out there. In reality, there are more single moms than single dads, and in most cases, all single parents have a small income scale as compared to any of their two-parent counterparts. Though many single parents are employed either full-time or part-time, but in most of the cases, they find it almost impossible to work full-time sans outside help.
In the recent decade, the dilemma of single parents has mushroomed resulting in the rising divorce rates. Add to this there are an increasing number of never-married parents that contribute to the trend.
This takes a huge toll, and it is seen that most of the single moms and dads usually are below the poverty level which is alarmingly almost twice that of all families.
Not the end of the world
In a two-parent household losing income of one can lead to hardship but for a single income family, it can be devastating. However, in spite of such alarming facts, raising children by single moms and dads may be difficult, but it is certainly not impossible. If you are not as lucky as others to have relatives to help you out with the household expenses and childrearing, there are other ways in which you can eliminate the uncertainties involved in it.
- If you cannot meet with the demands even after you receive child support from the non-custodial parent, you can avail several federal programs for single moms and dads. These government helps designed to help the struggling single parents. You can avail federal programs like Aid to Families with Dependent Children and the Supplement Nutrition Assistance Program. These programs offer subsidies so that you can pay for the basic necessities and buy groceries.
- If your income level and state of domicile favors then you may also qualify for Medicaid programs to get health care benefits.
- There are also a few other public support programs that will cover either a portion of or the entire costs of lunches at school for children.
Therefore, you must immediately get in touch with the relevant authorities and your child’s school to get more information and apply for such programs.
If you visit nationaldebtreliefprograms.com or any other such websites, you may also come across a few nonprofit help for single parents.
- These nonprofit organizations, as well as religious charities, provide financial help and guidance to single parents.
- Apart from that, you can also get help regarding housing as well as educational training.
- There are a few organizations that even sell used furniture to single parents so that you can furnish your home.
- There are several such thrift stores from where you can get used goods of all types at a fraction of the original price.
You can search on the internet for such services or directly contact state divisions of family services in your area.
Meet the childcare challenge
Childcare is a real challenge that needs a lot of effort as well as money. Well, there are ways in which you can lower this cost as well.
- If you attend church regularly, you may even take help of the church as several churches operate a daycare center.
- Apart from that churches may also have a liaison with other religious organizations that might help you out in this regard.
- In some cases, you can even get reduced rates offered by the church depending on your income.
- You may also contact the government childcare offices in your state or county for guidance.
- You can even talk to the human resources office of your employer and ask for help.
However, make sure that you contact the Internal Revenue Service publication to know more about the tax requirements of the cost of daycare because such expenses for children 12 years and below are usually tax deductible.
However, to qualify for such deductions you must have an income, or be mentally or physically unable to care for yourself or be a full-time student and most importantly, the care provider must be older than 19 years.
Take a tax break
There are also a few other ways to save some money through taxes being a single parent. According to the law, if the custodial parent and the child reside together, the child-care tax credit is provided for the money spent on daycare.
You can also claim for the head of household status on federal tax returns or claim your child as a dependent on you and get tax-credit provided your child is younger than 16 years, and you meet with all other income requirements.
If you have child support orders, then payments may be critical as these transfers must be linked with your family budget as well as child welfare.
Therefore, there are several ways in which you can get financial relief and steer yourself clear from debts and successfully raise your child as a single parent.