In society today, women certainly have control over their finances and are proven to be savvy investors. In fact, women outpace men in the property ownership stakes. This is despite having to deal with significant challenges that many men never experience.
Here’s a look at the most common challenges and how to start overcoming them.
1. Lack of financial knowledge
Money has long been a taboo topic for women. This stems from a range of reasons, like being taught that it’s not polite to discuss finances or feeling embarrassed about wanting to grow wealth. It’s certainly not a topic that’s usually on the table during lunch with the girls. The downside to this is that women often feel less confident than men in managing finances. Educating yourself about money and engaging a professional helps you take control, with investment strategies towards financial freedom.
Balancing career and home responsibilities leads to success.
2. Balancing home/work life
Women are still much more likely to stop work in order to take on the role of the primary carer for children. When returning to work, it’s often part-time, therefore leaving large gaps in the wealth-building journey. Thorough research with advance financial planning is crucial, in order to maximise career and investment opportunities along the way. Achieving a fair balance with your partner, in order to share domestic roles, is also paramount.
One of the biggest issues though, is that many women still feel uncomfortable negotiating for a pay rise.
3. Lower pay rate
Currently, Australia’s full-time gender pay gap is, on average, 14.2%. A range of factors come into play here, including unpaid caring and household responsibilities, lack of workplace flexibility, time out of the workforce and female-dominated jobs attracting lower wages. One big issue though, is that many women still feel uncomfortable negotiating for a pay rise. Know your worth in the workplace, know that you deserve fair compensation for your skills and don’t settle for less.
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4. Overspending
Overspending is a curse for both males and females. However, the triggers towards doing so are generally quite different. For women, breaking the budget is often an emotionally-driven action. This could be buying expensive presents for friends and family, impulse shopping or trying to meet internal needs with external things.
To stop overspending, acknowledge emotional triggers in order to become aware of them. Give yourself some time before making a purchase, to let the impulse die down. When you feel emotional, use this as a red flag to curb spending until clarity returns.
Though women face unique financial challenges, with education, the willingness to speak up and professional advice, you’ll soon learn to hurdle them towards financial success.