Women lead varied lives and are living longer, which can have a huge impact on their financial future. Women need to take control of their finances, not defer decisions to parents, a partner or expect future governments to provide support in later life.
Women can face overwhelm with the responsibilities placed on them, societal attitudes and a reluctance to put themselves first. Money conversations remain taboo at home, in school, at work and in relationships and can result in women being unprepared when it comes to managing their finances, asking for the salary they deserve and believing their self-worth is equal to their net worth.
I am an ambassador for the Chartered Insurers Institute’s ‘Moments that Matter’ campaign. This looked at the key financial life risks involved in the decisions women make over their lifetime: what to study, where to work, how to approach relationships, parenthood, divorce or the ill health of and care for a loved one. By raising awareness of these issues, we can break the taboo and normalise money conversations.
If we think about our spending habits, are we shopping on auto-pilot?, making impulsive purchases?, over spending or over giving? Can you recall how you were feeling? Calm, relaxed, unhurried or stressed, unhappy or bored? Given the time of the day, day of the week or even the week in the month, was the spending a reward? Or were you seeking connection or compensating for something else?
With knowledge comes control. Consider drawing up a spending plan and list your essential and desirable purchases to rein in impulsive spending. Take time to note birthdays of loved ones, house and car insurance renewal months, holiday expenses and other one-off commitments. This will give you time to shop around for discounts or set money aside each month. It will give you an indication of the cost of your lifestyle. Banking apps can help categorise spending, round-up transactions and divert small regular amounts to a buffer account, which can build a pot of money and alleviate stress of unexpected bills or financial shocks.
“Disclaimer: This post is for educational purposes only and does not constitute financial advice. – When investing the value of your investments can go up as well as down – Resourceful Planner”