Women’s Day is finally here and everyone around is thinking on how to make it special for women around them. This day is celebrated every year on March 8th to commemorate the social, economic, cultural, and political achievements of women. The day also marks a call to action for gender equality and the empowerment of women worldwide.
However, the day provides an opportunity to raise awareness and how we can empower women around us. Here are some financial lessons to commemorate Women’s Day:
Start saving early: Women should start saving as early as possible to ensure that they have a comfortable lifestyle without facing difficulties and achieving their short, medium and long-term goals. More and more women now feel that they should be financially independent, and this is reflected in the recent reports.
BankBazaar’s annual survey report (Savings Quotient) on how India saves and invests highlights – Women are more actively saving then usually perceived. More women hold mutual fund investments compared with men – almost 60% women have SIPs running compared to 55% men. About 54% women have FDs compared with 53% men. The percentage of men, however, investing directly in stocks is much higher than women.
Also Read: Top investment strategies for financial stability of your daughter
Take control of your finances: Women should take control of their finances and make sure they understand their financial situation, including their income, expenses, debts, and investments.
Invest in yourself: Women should invest in themselves by acquiring education, skills, and certifications to increase their earning potential.
Create a budget: Women should create a budget to manage their income and expenses effectively.
Build an emergency fund: It is essential to have funds when you are having difficult times of your life. You must have funds for uncertainties. Women should build an emergency fund to prepare for unexpected expenses or income loss.
Plan for retirement: Women should plan for retirement by investing in retirement accounts.
Nanda Padmanabhan, Assistant General Manager, Communications, BankBazaar.com, says, “Data shows that in many ways, women tend to be more pragmatic about savings. 68% women have a retirement corpus compared to 54% men. Among older women, this is still higher. 48% women are actively working on saving towards their retirement compared with 42% men. 60% of women have mutual fund investments compared to 55.6% men. 45% have direct investments in stocks compared to 41% men. This is seen across age categories. Despite this, only 14% women have a corpus of over Rs 2 crore. 56% have a corpus of Rs 25 lakh to Rs 1 cr, which, based on their current incomes, may be smaller than what they require on their retirement.”
Avoid debt traps: Women should avoid taking on high-interest debt, such as credit card debt, and pay off any existing debt as soon as possible.
Seek financial advice: Women should seek financial advice from professionals, such as financial planners or accountants, to make informed financial decisions.
Share Knowledge: Women should support other women by sharing financial knowledge and resources and advocating for fair financial policies and practices.