Sun. Feb 25th, 2024

When I worked at Age UK I saw so many women that had relied on their husbands to deal with all the family finances, often to the detriment of their wives who lived longer and did not know how to manage money. So important for everyone to engage with their finances at an early age and on a regular basis. You can use a budgeting app or personalised spreadsheet to calculate your net income, list your monthly expenses, and prioritise your spending. The thought might seem overwhelming, but crafting a budget is quite manageable. Once done, minor adjustments can accommodate changing income or spending habits. As a working woman, setting realistic financial goals provides you with a clear vision and makes it easy to determine your financial aspirations.

That is why it is always a good idea to ask whether the person—or the person’s firm—will receive any additional compensation for selling you a particular product, service, or type of account. In any case, you should be careful about doing business with a professional who does not want to discuss the fees and other charges that apply to your account. Remember, even if you do not have to pay a fee for a particular transaction, the professional is still getting compensated either directly or indirectly from fees. An emergency fund should be “liquid,” meaning you can readily pull out the money. You can shop around for a savings or money market account offering a higher interest rate than a regular savings account. You still won’t earn the same interest rate as, say, your money invested in the market via your 401(k) or IRA, but that’s the necessary trade-off for accessing your money when you need it.

Read more about first steps to investing here.

Reduce stress by setting a dedicated time to review your financial position. One way to do this is through a “daily money minute.” Each morning, review your bank balances, investment accounts, and credit card transactions.

Kristin Burton, a practicing physician assistant and owner of Strive Coaching, recommends women take the reins of their finances and empower themselves with financial knowledge. Women have made progress over the years in terms of pay equality, but they still have a long way to go. There are, however, a few things you can do to bridge this gap in your own finances. The U.S. Department of Labor reports that most women retire before men.

The basis of the pay gap is that men tend to earn more money than women for doing the same work. While this isn’t always true, it’s more often than not a reality. The Institute for Women’s Policy Research found that women earned 83% of their male counterparts’ earnings per week in 2021.

This compares to 59 percent of men who feel financially secure and 61 percent who think they will be financially prepared for retirement. Having a defined plan and a set of goals helps anyone, regardless of gender, make financial decisions with confidence. A good financial advisor can help you create a financial plan that helps you find a path to achieving your objectives. Raising a family is one of the most rewarding and important things in a woman’s life.

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