Managing the Money
This decade has witnessed a whopping number of women entering the workforce. The avenues have expanded immensely for them, thus enabling them to channelize their potential in a proper direction. Being financially empowered, it is also crucial for them to keep track of and abide by certain money management rules which will help them manage their finances better. Experts advise the earning women to start saving once they start working, for retirement or for future use such as emergency needs, medical expenses, accidental costs etc.
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Working wives are advised to maintain accurate financial records. None of us know what tomorrow beholds for us, and in such unpredictable times, we cannot be certain of what the future will bring. She should have correct information of her bank account no., what she has kept in her safety deposit box, or what kind of bonds or stocks she has. Even if the husband is handling such matters, it is important for the wife to know the details, since she might have to access the resources if need arises. Working women with children should also make plans of securing her children’s financial future with insurance, health care, educational plans and so on. She will also prove to be a good role model to her children if she manages these things sensibly.
Financial well-being starts from making plans early on, as opposed to “hoping for the best” or procrastinating indefinitely. Women, as it is, have to tackle an incredible amount of responsibilities in a day and juggle between multiple roles, that of a mother, a wife, a boss, an employee, a volunteer and what not!! Thus, to create an effectual financial plan, she must keep in mind what personal, professional and financial goals she wants to achieve, and then scrutinize them further with deadlines and ‘price tag’. She should set aside a personal cash cushion with three months worth of finances to protect herself and her family in the event of an unexpected expense. Over-reliance on the spouse can prove to be disastrous as she might be separated from him, by death or otherwise. Also, it is not sufficient to have joint credit accounts with spouse. All women need to have money in their own name, in order to establish a solid credit history and learn to manage credit wisely. Many couples have joint accounts to pay household bills, but having a separate savings or checking accounts will give a woman a heightened degree of financial autonomy and facilitate her in planning, saving and budgeting. Before making an investment, it is extremely important that she does a thorough research.
Apart from these concrete steps, there are also a few abstract ones that women need to be aware of, in order to manage her money better. She should take care of the fact that she doesn’t use money to feel good, or to promote self-respect and satisfaction. A woman has many other ways (and, much better ones) to do feel good about herself. The secret to creating wealth is to spend lesser than one earns. She should be actively involved in the day-to-day management of the family’s money management. Last but not the least, she should not be afraid to negotiate a pay hike or a raise in her workplace. If she deserves one on account of her consistent performance at work for a steady span of time, she should not be hesitant in presenting her case to her employer.
Boosting her income and making smart money choices in one or many of these ways will secure women for today as well as tomorrow. Instead of allowing the death of a spouse or a significant other to plunge them into poverty, or becoming mired in debts as a result of allowing their financial security to be in someone else’s hands, women should be aware of the fact that her financial security is dependent on her attitudes and beliefs about money and her willingness to take her financial future in her own hands.