Financial Tips for Women

Women need to pay special attention to their finances to come out in the same position as their male counterparts.

Women are still at a financial disadvantage to their male counterparts in many ways despite taking huge strides towards equality in the past few years. That is why the following financial tips can help to even the playing field

Don't Hand Over Responsibility for Your Financial Future

Far too often women eagerly hand over the reigns of their financial future to male companions. Getting married or entering a serious relationship is no excuse for turning a blind eye on your finances. You may not think that your relationship will ever come to an end, but if it does, you should be able to pick up the pieces without first plunging into a financial nightmare. You should at the very least be fully aware of where your money is held and what type of investments you are vested in so you can access it in case of emergency.

Build an Emergency Fund

Speaking of emergencies, it is important to have a pool of funds available in case you come across something that you did not anticipate. The average rule of thumb is to have approximately three to six months of your salary in a liquid account. If you do not work you should ensure that your partner has this money in a place that is accessible to you in case of emergency.

Save for Retirement

Women generally live longer than men and they may also leave the workforce at a younger age to raise a family. This means that they have less time to actively save for retirement. Aggressively saving for retirement from a young age can help to counter your shortfall if you decide to stop working later on.

Know What You're Worth

While you should not take it for granted that you are being underpaid, you certainly owe it to yourself to do your research. If you suspect that you deserve an increase plan your approach strategically and avoid making an emotional plea.

Don't Hesitate to Buy Your Own Home

Renting is typically a poor use of money. Buying your own home is a much better way to park your income and in the event that you meet someone you want to share your life with you can enter the relationship from a position of strength. You can sell your home to help purchase a new joint property, or you can rent your property so you can continue to benefit from it.

Think Carefully Before Leaving the Workforce While you might want to leave your job when you get married and plan to start a family you should think this through objectively and weigh the pros and the cons. Remember that there are alternatives to working a full time job, such as taking up working from home or switching to part time employment.

Your financial future should rest in your own hands and the shape that it takes depends on your attitude to the aspects discussed above.