CNBC: Equal Pay Day: Single moms are hit the hardest by the gender pay gap — and custody arrangements can matter

CNBC, March 24, 2001 — In today’s article by Sharon Epperson and Michelle Fox, the reporters write: When single mom Lakeesha Brown got divorced six years ago, she opted to forgo child support and instead split custody of her two young daughters with her ex-husband. It was the best decision she made, said Brown, 43, who lives in Farmington, Connecticut, with her kids, now 8 and 10. “It was a leap of faith,” she said. The shared custody allowed Brown to grow her career and her income. She’s now vice president of human resources at a substance use treatment center. “I was able to move out of a job into something brand new that gave me license to be creative, to have more say, to work directly with the CEO,” she said.

They turned to Marguerita Cheng, CFP®, for insight into how to overcome the pay gap.

Rita explains: It is not just about equal pay, it is also about finding an equitable, financial situation for single moms whenever possible.

Ideally, that should be done before the divorce is finalized. However, negotiations can be made along the way for more equitable parenting schedules that create flexibility for working moms. That can help give them time to devote to their career, return to school, take some professional development courses, or network.

“Many single moms may be part-time, or they may be solopreneurs or freelancers,” said Cheng, a member of the CNBC Financial Advisor Council.

“If a single mom happens to have full-time employment, it’s not just the paycheck she’s collecting or receiving or earning,” she added. “It is employer benefits, such as paid time off.”

That may also include other safety nets such as health, disability, and life insurance, as well as a retirement savings plan.

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