Whether your goal is to become financially independent, make a big investment, or simply feel like you are in control of your money, hiring a financial advisor can help you get there.
If you don’t feel ready to hire an expert, you should still take a moment to learn more about finances and how you can make the most of the money you earn.
To help you get started, here is some of the best financial advice for women.
1. Be sure to write down your financial goals
Did you know that the first step in making a dream come true was writing it down? Write it down if you want to buy a house, go on a great vacation, or reach financial independence.
Then, break this financial goal into smaller goals that will be easier to reach and keep track of.
Writing your goals on paper instead of keeping them in the back of your mind will make you more likely to succeed.
2. Don’t let someone else control your money
It’s not a good idea to let your spouse or partner, or anyone else, be in charge of your finances. As soon as you start making your own money, you need to be in control of it.
Even if you are in a relationship, you should still get your checking account to see where your money is going.
Plus, if ever this relationship ends, you will be able to support yourself financially.
3. Making a budget helps you figure out where your money is going
Any financial advisor could tell you it’s important to make a budget and stick to it.
A budget is a tool that will help you figure out if you can truly afford your current lifestyle. It allows you to keep track of every dollar you earn and of every dollar you spend.
Far from limiting you, it gives you the freedom to spend on the things that matter and to stop wasting your money on extra expenses.
4. Be careful if you open a joint bank account with your partner
If you want to open a joint bank account with your partner, be sure you still have a private account.
And if you and your partner don’t make the same salary, agree on a percentage of your salaries you should deposit into your joint account. This way, if you make less money than your partner, you won’t put more than you can afford into this account.
5. You need to save for an emergency fund
If you don’t already have an emergency fund, you need to save some money for one. Ideally, your emergency fund should allow you to cover 3 to 6 months of your expenses. If that doesn’t seem realistic, start with a goal of saving $1,000.
You never know when an unexpected expense might show up. You could also get sick and be unable to work for some time, so it’s best to be prepared.
6. Don’t buy something with a credit card if you can’t pay for it
Credit cards are convenient, aren’t they? However, you must use them with caution. On top of always making your credit card payments on time, you should avoid purchasing things you can’t afford to pay out of your bank account.
Buying something expensive that you can’t afford to pay back over time can be dangerous, especially if you do it often.
7. Pay back your highest-interest debt first
If you have many debts, focus on paying the debt with the highest interest. Make the minimum monthly payment on all your other debts, but put more money on that one.
When you have gotten rid of that debt, focus on the one with the highest interest.
8. Do some research before you invest your money
Investing money is a long-term commitment, and it’s not a good idea unless you know what you’re doing.
Before investing your hard-earned money, start by doing some research. Take a course on investment, read a book, or at least read a few blog articles on the topic.
The time you spend getting informed about the type of investment you are interested in will be worthwhile.
9. Save money by buying items in the men’s section
This last piece of advice might sound a bit silly, but it can save you a lot of money in the long run.
Unfortunately, many products cost more when designed for women, even if the only difference is the colour. Think about personal care products, for example.
Don’t hesitate to buy these products, and countless others, in the men’s section instead. It will cost you less, and you can put your savings into your savings account.