The current narrative around women and money, in New Zealand anyway, is that women aren’t good with money.
I cringe when I hear this and get annoyed with all the cliches about ‘girl math’ and women preferring to buy shoes and make-up over managing and investing their money.
The women I’m lucky enough to know are the money managers in their families; they are educated professional females who tend to control household spending, oversee investments, budgets for holidays, faster mortgage repayments and curve unnecessary spending. Its usually the husbands and or partners who are in the dark about their finances.
They, my tribe, are the exact opposite of the glorified ‘tradwives’ of TikTok or Instagram, flouncing around in summer dresses, milking cows and perfecting souffles for hubby’s triumphant return from work. Good lord, what year is this?! If these women exist, their version of girl math makes the bubble-head Barbie variety look smart.
What many smart, liberal and educated women get wrong about money is far more benign but can cut deep into their financial well-being and independence nonetheless.
- Waiting too long to invest. Start early and contribute regularly. If you’re a parent, get your child into an investment vehicle from birth that the family can contribute to instead of plastic junk.
2. Thinking you need a commerce or finance degree to invest. It’s not hard. You don’t have to buy shares directly either. A low-cost diversified investment fund will do the trick.
3. Failing to negotiate a higher salary so you have more to invest and or to reduce the mortgage or other debt. You’re leaving a lot of money on the table not getting paid as much as or male than your male counterpart at work, who probably does a lesser job.
4. Not investing in your future; whether that’s upskilling, starting a side hustle or your own business.
5. Thinking someone will save you. Pretty Women was a Hollywood fiction. Probably like the TradWives of Instagram.
Smart women know that they should save more than they spend and that it pays to watch where their money is going. They regularly review their accounts and cut back on fat when needed. They don’t buy crap they don’t need to impress people who don’t care because they are self-assured about who they are and what is important.
It is normal to hesitate about financial decisions and to doubt yourself now and again. This is a strength for women in fact because they tend to ask more questions and take a more considered approach to money. It becomes a weakness when it paralyses a gal from taking action.
Don’t let that be you. And if you are looking for a sounding board or mentor to navigate some of the financial complexities out there, recruit someone reputable to help.
