The single moms I know are some of the most empowered women in my life. They do the work of two people tirelessly every single day because they view their responsibilities not as burdens but as unfailing demonstrations of love. They know they have it harder than most, but they wouldn't change it for anything else in the world.
As a single parent, it's important that you provide a safety net for you and your kids -- life insurance -- to make sure your children are taken care of if you aren't around. As a single mom (or single dad), this should be the first thing you take care of before planning for anything else. If you have gone through a divorce, you know all too well that putting the onus on your spouse to provide the monetary safety net your children may be a bad idea. If you've suffered the death of your spouse, you know all too well how important life insurance is in a family's financial plan.
So how, as a single mother, do you calculate how much coverage you need? Start with the expenses that children bring. The average expenditure on two children in a family is over $8000 a year. As they grow, their financial needs increase. These costs will also depend on where you live. According to the US Department of Agriculture's Annual Report (2012) on Expenditures on Children by Families, a middle-income family with a child born in 2011 can expect to spend about $234,900 ($295,560 if projected inflation costs are factored in) over the next 17 years. This figure doesn't include education beyond high school. (Find the link at http://www.usda.gov/wps/portal/usda/usdahome?contentid=2012/06/0197.xml). To calculate your life insurance coverage, factor in costs like college tuition and weddings. Use the term life insurance calculator to find out the ideal coverage for your situation.
Use an aggregator website like AccuQuote.com to find out how much it would cost you in yearly premiums. Get quotes for 15, 20 and 30 year terms and compare life insurance costs. As a young, healthy mother, you may think that a couple hundred thousand dollars in coverage is going to cost an arm and a leg. Not true! You could get covered for as little as $40 a month. A life insurance policy that adequately covers your needs is exactly what you need to give you much needed peace of mind.