Deciding to become a single income family is not one to be taken lightly. If both adults were working, there will be a dramatic drop in income and could have a noticeable effect on finances. Many couples decide to become a single income family with the arrival of children. With proper planning, a single income household can be just as successful as a dual income household.
The first thing to figure out is your debt to income ratio and to see if having one income is feasible at this point. The next aspect is to consider if having one income will be enough to cover any future emergencies that may happen.
Having a monthly budget and sticking to it will be the key to the success of a single income family household. Extra, non-required spending may have to be limited. Eating out and shopping may not be a regular part of the budget now.
business customer support operator woman smiling in an office
Renowned CPA and widely acknowledged financial expert, Clare K. Levison, launched her new book “Frugal Isn’t Cheap.” She explains that knowing how to be frugal in your financial decisions doesn’t mean that you have to compromise on your lifestyle. The book contains practical advice along with real-life case studies to infuse a completely new sense of financial management, so that you can save a considerable amount of money without affecting your way of living.
Levison explains that people should understand the principle of how to be frugal by incorporating frugality in their financial decisions. They can not only save money, but also have a much better lifestyle. She goes on further to clarify the misconception that frugal financial decisions don’t create any limitations or misery in your life as most individuals think. Once you are able to relieve yourself from the temptations of possession and material consciousness, you get the avenues of leading a more soul satisfying life by spending time with your friends and family.
Our firm provides the information in this website for general guidance only, and it does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with a competent professional tax, accounting, legal, or other professional advisers. For information on how to use this data, you are advised to read our Legal Disclaimer page and our Circular 230 page.