Redstone Federal Credit Union

r e d f c u.o r g | 9 Being a single parent means wearing many hats: cook, coach, nurse, and more. One role that shouldn't be overlooked is planner for the future. Estate planning is especially important. From naming a guardian to setting up a trust, these decisions ensure that your wishes are honored, and children are cared for, no matter what life brings. Here are five strategies for singles with children to create financial security and peace of mind: 1. Create a budget. List your income and financial obligations (housing, food, clothing, transportation, etc.) and then figure out what's available for optional expenses (entertainment, restaurants, etc.). 2. Build your savings. Creating an emergency fund is a priority, enough to cover 3-6 months of living expenses, but also consider preparing for the cost of higher education for the children and retirement for you. Financial Strategies for Single Parents r e d f c u.o r g | 9 3. Pay off debt. Don't let your hard-earned money disappear to high-interest loan payments. Do your best to pay those off and then try to avoid purchasing anything that you don't have the money to pay for. If you're struggling with multiple loans and credit cards, debt consolidation can help! 4. Assess your end-of-life provisions. This means considering your life insurance amount, updating your will, creating a trust, and choosing a trustee to manage your assets and a guardian for your children. A trust controls how your assets are distributed; you can avoid the probate court process, minimize estate taxes, and determine when and how beneficiaries receive funds. Thoughtfully plan your estate today to leave a legacy for tomorrow. 5. Talk with experts. Redstone partners with Trust & Will to offer an easy, affordable, and secure way to create your estate plan online. Also, a tax professional can tell you about eligibility for child tax credits, and your health insurance provider can describe coverage options for children. Redstone is here to support you! We care about your financial wellness. Take advantage of our free seminars and the resources available at redfcu.org. RFCU does not offer tax advice. See your tax advisor for your specific questions.

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