Financial Management For Women

Once upon a time, it was normal for the man to be the sole earning member of a household. For this reason, he was also the main decision-maker when it came to budgeting the family finances. If a man told his wife that he would give her a certain amount of money for monthly expenses, she would have to make do with that. If a woman needed extra cash, she would have to ask her husband and have to go with his decision.

Those days are long gone, and women are not only earning their livelihood but are also more aware of financial planning. However, a mind shift is still required for more women to proactively start managing their finances and that of the home. Whether a woman is single or married, a homemaker or a working professional, she should be equipped with the knowledge of how to effectively manage her money.

Here’s Why Every Woman Should Be Able To Manage Finances:

Women Run The Home:

In most Indian families, it is the woman who runs the home. From preparing the meals, taking care of the kids, and making sure that the house is stocked with all necessities, it is the woman’s responsibility. Everything from buying toothpaste to taking a child to the doctor costs money. Because the woman is directly involved in managing these expenses, she is the best person to know what the monthly expenditure of the home is. As a woman running a home, you are also in a position to know where money needs to be spent and where it can be saved.

Women Have Their Own Income:

Two-income households where both spouses are earning, are becoming more and more common. In a situation where you contribute even a part of the finances, it is only right that you get a say in how the money is spent. You should also be aware of ways you can invest your income and/or save for retirement.

To Be Prepared For Unforeseen Circumstances:

Life can be unpredictable, and it is always better to be prepared for an unexpected setback. Illness, accidents, and loss of a job or loved one, can all disrupt life. In most of these cases, a financial safety net can provide relief when bills pile up. Learning about life insurance, health insurance, accident insurance, and other types of policies can help women substantially in circumstances where they need to financially hold the fort.

To Finance Their Own Dreams:

Every person has a dream that they hope to accomplish in their lifetime. Some of these dreams like traveling abroad, buying a car, or starting a new business, require funds to take shape. When women learn to manage their finances and save and grow their wealth, they are able to finance their own dreams and be self-sufficient.

In all these situations, women can greatly benefit from learning how to budget, save, and invest their money. A few things learning money management makes women aware of are: the tax-saving benefits of buying health insurance, how certain investments give higher returns, and how to choose a retirement plan.