Habits of Financially Successful Singles

A growing number of American adults are living the single life.

The Pew Research Center found that in 2019, 38 percent of American adults between the ages of 25 and 54 were not married or living with a romantic partner.

One factor singles should pay attention to is financial planning and management. Consider adopting these financial habits:

1. Adjust the size of your home to match your budget.
   Living alone means you could live in a smaller space. Find a house or apartment that suits your needs and your budget. Most people spend 90 percent of their time at home in the bedroom, kitchen, and living room anyway. You can do all of that in a small home or apartment and save your money for more important things.
2. Successful singles take advantage of being the sole decision-maker.
   Being single means having the freedom to make decisions without having to accommodate the desires of others. Learn as much as you can about finances and investing. Become financially literate, so your decisions are good ones.
3. Pay yourself first.
   This is an excellent habit for anyone, but it’s especially important for singles. When you’re single having an emergency fund is vital. You’re the only person paying into it. If a real financial challenge appears, you’re the only one available to handle it. Pay yourself first, so you’re ready for anything.
4. Take care of business at work.
   With a single income, the loss of a job can be especially challenging. If things aren’t going well at work, either fix them or start looking for new employment. Take a lesson from the Great Resignation that’s been happening in America. Find a company that resonates with your mission and purpose.  Make it a career and not just a job. When you’re happy at work, you’re more productive and you’ll earn more income.
5. Start saving for retirement immediately.
   If you stay single, you’ll be your only source of retirement savings and investment. You might not plan on staying single, but it’s better to be safe than sorry. The sooner you start, the more you will benefit from compound interest over time.

While being single has its challenges, it also has many benefits. You alone control your finances and can make all the decisions. The responsibility is on you to make smart choices. Minimize your expenses where you can. It’s all about saving, protecting your income, and being prepared for the future. Begin adopting the habits of financially successful singles today.

 

 

 

 

 

 

IMPORTANT DISCLOSURES

 

Material contained in this article is provided for information purposes only and is not intended to be used in connection with the evaluation of any investments offered by David Lerner Associates, Inc. This material does not constitute an offer or recommendation to buy or sell securities and should not be considered in connection with the purchase or sale of securities.

To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable– we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.

David Lerner Associates does not provide tax or legal advice. The information presented here is not specific to any individual's personal circumstances.

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