Breaking a stereotype has never been a cakewalk. When it comes to financing, there has been a lot of debate for decades. Women are becoming more and more independent with passing days, and with independence, there comes a responsibility. They are constantly subjected to confrontations for not balancing their life becoming an all-rounder.
So, in the means of struggling with their evergreen work loop, many women do not get enough time to plan out their savings for the future and miss out on a milestone of becoming perfect in the eyes of society.
Here are top money tips for women
Here are few tips for all the women out there to keep their antennae up while they work hard:
Track your spending- It is never too early to instill some sound money management skills in you. It is the first baby step to manage your savings. Track for a month, and once you know what to cut out of your list, plan your budget. You may be flexible sometimes, but this allowance must not be more than once a month.
Avoid or pay off your debts- Credit cards can be dangerous if not used for a long duration. The interest costs up putting an increment on your debts if you make a late payment or pay just the bill amount. So, if you have other loans, it will drain you out of a lot of money.
Create an emergency fund- Invest 10 percent of your income on savings which will help you to cope with unexpected circumstances in your life. In this way, it will work as a backup plan in need.
Set your individual goal- Every person must have their own goals. Figure out yours and work towards it. Never depend on the goals of your fellows because every lifestyle is different. So, start with short-term goals and then decide on your long-term goals and act without any delay.
Do not rely on anyone- When it comes to financial security, women should never rely on anyone, be it their husband or boyfriend or anyone else. Most of the women cede the control of Finance to men, which should not be the case.
Do not buy what you can borrow- Yes, you heard that right. Today, many fashion rental companies have opened which allows renting at a cheaper rate to keep things afresh if you are bored with your clothes and in the mood to try out new ones. This is a sustainable way for all the shopaholics to save their money since you can rotate and wear for an extended period.
Take your time to plan- When making critical decisions about managing your Finance by yourself, be self-reliant and take an ample amount of time to take appropriate measures. Never hurry and invest well in the time of planning and figure out all the consequences in advance.
Try out a handful of opportunities- If you have more than one opportunity regarding your work, never refrain from trying out all the viable options. You have nothing to lose and will add up on your experiences, and while giving your best shot, you are more confident in yourself.
Stop being insecure- Often, insecurity becomes a reason for you backing out from exploring some significant opportunities that might have knocked at your door. You overthink the consequences instead of giving them a shot and lose a chance that might have worked like wonders.
Try shopping in the kids’ or men’s section- Basic shirts, shorts, razors, perfumes, lotions, shampoos, running shoes, and so many such options may fit your body type and save your money significantly, so keep an eye on those.
Fashion has reached new heights for women, which draws so much attention to oversized tees and shirts. Usually, for similar products, women pay more on “pink tax,” which again depletes your budget.
Try out makeup recycling- Sometimes, instead of buying a new set, you can save your money by investing in a few valuable hacks. For example, if your mascara has dried out, try putting an eye drop or any saline solution in it and continue using it before you move on to the new one.
Learn and grow from the missteps- Don’t be ashamed of your past financial mistakes. Be kind to yourself, learn, and let go. One good habit is to note down your past mistakes straightforwardly and think about rectifying those missteps to prevent history from repeating itself.
Educate yourself- According to a survey, women are less comfortable deciding on their retirement investments due to inadequate financial literacy compared to men. Therefore, to build your financial empire, it is a requisite to carve out some time for yourself to learn how to balance your investment before diving deep into the strategies of saving your Finance.
Invest wisely- If you are a fashion freak, the chances are that you spend all your money behind your closet. So, a lot of times we opt for cheaper clothes which are not durable, and as a result, this again consumes your savings. Instead, invest in quality than quantity which will be advantageous in the long run.
Learn self-control- If you are lucky, you might have learned this skill in childhood from your parents. Self-control is an important aspect, and one should start learning it to keep their finances in order. There are many perks of using a credit card, but the risk factor is remarkably high when you have multiple cards that become difficult to manage.
Eat-in more often- When you learn to control yourself from hogging on to fast foods in your every weekend routine, it can save you from blowing tons of money. Learn to cook by yourself with what you have in your fridge stock, which can cut short your budget.
Don’t listen to every piece of advice- Don’t let anyone catch you off guard. Take your charge and arm yourself with adequate know-how so that you know when and how to act in all circumstances related to your finance management.
Never rely on commission-based finance planners or any ill-intentioned people who will give you advice but leave you in danger.
Do your retirement math- All your parents sent you to kindergarten with a dream of preparing you to attain success in a world that seemed eons away. Likewise, it would be best if you also planned for your retirement as early as possible.
Because, like compound interest, the sooner you start saving for the future, the less principal amount you need to invest and get your required notable amount at the time when you retire.
Shield your wealth- There are different types of insurance designed for every case. If you are a single mother, to secure your child’s future, high life insurance coverage is crucial to have. You can also opt for other types of insurances based on your choice and situation.
Guard your health- If you have no dependents, you might think that health insurance is unnecessary. But, if anything happens to you, your family will be liable to pay all your debts, taxes, and other loans (if any).
So, to secure them from facing all these, insurance plays a huge role. Also, a single appointment for a minor injury can cost you thousands of dollars! Hence, health insurance is mandatory.
Call out for help when needed- Don’t ignore your need to ask for help. Find a fee-only financial planner instead of a commission-based financial advisor while managing your wealth. The former gets zero incentive to guide you down a false path, but the latter earns from both the parties, you and their company, and acts as a third-party here.
Get a grip on taxes- If you are not confident to do the dirty math, many tax software and calculators act as an aid at your service. These will show your gross pay, how much it goes for paying the taxes, and your net income.
There are different types of taxes. Educate yourself and if you want to change your job for a rise in your salary, do your math for marginal tax rates involved.
Develop a habit of saving- Savings, no matter how little they are, can create a big difference if you put the changes in a jar. They will eventually turn into a considerable amount, and you will be surprised that such simple practices can change things profusely.
Write your goals in a diary or maintain a journal- When you write anything, it becomes achievable. It will entail your envision and act as a momentum to push you forward. Re-visit these goals after every 2-3 months, and you will be able to charge your batteries and get things on track.
Identify good from bad things- Debts are not always bad. There lies a difference between good debt and bad debt, like investing your money for an education loan or a car/home loan because these are low-interest loans to acquire an improvement or an asset.
Plan a budget for looking good- As a woman, it is slightly disadvantageous considering money management. All women, in general, tend to nurture their beauty and are always set for glamming up themselves, for which a large cut budget becomes invincible.
Here, if you sometimes rely on natural hacks like some packs with natural ingredients rather than spending your money on those cosmetic products, it will save you a lot.
Communicate- Ask your colleagues what they make. Don’t be afraid because you will be able to determine if you are making what you are worth. Talk to your seniors and your parents and learn from their experiences, allowing you to analyze and find out ways for yourself.
Engage yourself with productivity- Apart from your work schedule, carve out some time for social engagements. Many organizations offer you a penny through buy-back programs for collecting plastics or glass waste and send them for recycling. Use your free time wisely and get yourself paid using reverse vending machines or door/community pickups.
Start a side gig- With inflation, sometimes a single income can be insufficient. Channel your creative skills and see what you can do to supplement your earnings. If you have a hobby of cooking, opening a tiffin service or a bakery and selling on different e-commerce platforms can help you earn money and add to your savings.
Reduce your cell phone plan- Cell phone dealings are a fact! Ask your sim service provider and know about various phone package options available. We all know how much competition there is between these service providers, so there might be some unique retention offers to keep you in their line of business.
Do your hair and nails- Instead of going out every weekend to the parlor for your manicure and pedicure, you can save your money if you go once in two or three months. It is no rocket science, and fortunately, there are hundreds of tips on YouTube to learn these skills and do your hair and nails at your best comfort zone, so you are all set!
Cancel subscriptions you don’t use anymore- Work out at home instead of going out to the gym. Today, the internet has offered us multiple ways to save time and money. YouTube plays a considerable role by offering personal online trainers who put up various courses on fitness regimes, even for free.
Compare before you buy- If you plan to make a big purchase, such as a computer/laptop or any furniture for your home décor, take ample time in window shopping before you buy. You might end up in a better deal at a cheaper rate elsewhere, which might exceed your criteria than the expensive one.
All in all, there are countless strategies, but the choices and implementation are up to you to decide. These many mentioned ways can help you with money managing.
The bottom line is that you need not starve yourself to death for the sake of growing your savings and don’t need any fancy degree or a particular background to become adept at managing your Finance.
If you follow these few tips and eliminate the bad habits of excessive spending without reason, you can be as prosperous as someone with an MBA degree in Finance. Good luck!
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