When it comes to finances, women and men have very different approaches. The following advice is geared more toward the interests, issues, and goals of women.
These are the top 10 financial planning advices that every woman should consider:
1. Take control.
Take control of your own finances, even if you have a significant other. Historically, women have left finances to their male counterparts and ended up worse off when they end up alone.
2. Be honest.
Be honest with your significant other about your finances. It is too easy to try to hide your financial woes early in a relationship. But this tends to create more problems later. Be upfront and open, that is the best policy.
3. Save for retirement.
Save for retirement starting as early as possible. This advice goes for both genders but it is important to emphasize it with women because they have a longer life expectancy, generally speaking.
4. Plan for more.
Plan to need more than your initial estimates. Inflation and cost of living constantly increases. So it is best to plan to have more than you think you will need than to find you have too little when you retire.
5. Set up savings goals.
You should be saving toward shorter term goals as well, such as emergencies, the children’s college fund or a new car. This will keep you from using credit cards as often.
6. Look for extra bucks.
Pay attention to extra earning potential. Women are less likely to take risks that could prove to be lucrative, such as speaking at conventions or giving advice in a field they know well.
7. Pay off your debts.
Get your debt paid off as early as possible. You can consolidate debt or shift credit card balances once one is paid off. The less debt you have the better interest rate you can negotiate.
8. Offer to trade services.
If you are a business owner offering to trade services can be rewarding for your business particularly as a startup. This not only saves you money but can also give you positive client feedback.
9. Handle your own marketing.
No one knows your business as well as you and you can research the most cost-effective ways of reaching the right audience.
10. Charge more for your services.
Women tend to be too generous, so fight the urge if you feel compelled to offer a lower price.