"Women have a more emotional relationship with money"

Updated: Mar 9 2009, 05:16am hrs
Do you struggle to understand why theres always so much month left at the end of the money Well, co-author Karen Pine explains to Suman Tarafdar the reasons why women need to be more in control of their finances. And how that can actually be done in the real world!

What does being a sheconomist imply

Its all about being comfortable with money, being able to make decisions and not being ruled by emotions like fear or confusion when it comes to financial matters.

What are the most prominent trends vis--vis women and their relation to money What are the most frequent financial phobias for women

Women live longer than men yet most still earn less than men so they have lower potential earnings over a lifetime. This means they need to put a larger proportion of their income towards their future financial security, eg in the form of pension contributions. They are also more likely to take career breaks or work part time, to fit in with family commitments and they tend to provide for others before themselves. When it comes to financial decisions women are more fearful, they take fewer risks and are more likely to stay loyal to existing providers (banks etc).

This means they may not always be getting the best deals. Research has shown that women have a more emotional relationship with money and worry about it more. Sadly, with marital breakdown on the increase, women in the UK also come off worse in divorce settlements. Also, with the current economic downturn, they are also at a greater risk than men of losing their jobs.

Approximately what percentage of women are troubled by lack of financial balance Do women ask for help in sorting out financial matters easily

In our recent survey, seven out of ten women said they worried about money, and almost 8 out of 10 said they go shopping to cheer themselves up. Yet, despite the scale of the problem, many women said they didnt know where to go for help, thats why we wrote Sheconomics.

Where does the balance between choosing monetary goals and emotional control lie

The balance lies in keeping the monetary goals in mind and not caving in to impulses or the desire for instant gratification.

You have used jargon minimally. Are men better with numbers and jargon

We think women are just as good as men! Its just that some women lack confidence in their own ability and are still put off by numbers and jargon. We think everyone can benefit from a straightforward, jargon-free approach to money and many men have also told us they found Sheconomics very useful!

Are the seven laws you have devised guaranteed to help in personal finance

The seven laws cover every aspect of a healthy relationship with money, so the person who follows them cant go wrong.

The book is about women in the UK. Would the women and money balance would be similar elsewhere too

Its true that we have worked only with women in the UK, albeit hundreds of them. There will undoubtedly be subtle differences in other countries and cultures across the globe. But women everywhere are starting to earn more and many are becoming financially independent for the first time. For these women the issues we tackle in Sheconomics, about having a healthy relationship with money, will be extremely timely and relevant.