Look at the list of the richest people of the magazine Forbs – why almost none of them women? Why women earn on average 28% less than men? Note 9 to these financial mistakes made by each
Natalia Smirnova, an independent financial adviser, the General Director of consulting company “Smirnova & CO. He is a personal Advisor”
Most often, it is not that we can’t earn. But women are the outdated stereotypes of behavior, which means that the problem lies in the field of psychology.
1. You shift all financial matters to the man
We are told from childhood a picture of the world: male – breadwinner and female homemaker, cook, teacher of children, a kind and affectionate wife. A typical example: a woman, a child and continues to sit in the decree for three years, then gives birth to the second, another three years, resulting in over 6 years, the woman has completely lost its competence as a specialist. The family used to live in Grand style, so they have all credit mortgage at an apartment, two of the loan and the need credit repair. But my husband’s company gets a new owner, wages are cut in half, and the wife after a nearly 7-year hiatus can’t find a normal job. If my wife were financially competent, she would not have allowed this – it would have created a “reserve” for the future, ahead of schedule extinguished the credit, to educate ourselves, not to lose yourself as an expert, knowing that they have one source of income that is subject to a number of risks.
2. You can’t define your goals
What is the financial health or wealth? The question everyone will be able to offer your answer. Answering it, you will receive a kind of ideal for which to strive, and this will be the first important step to becoming financially independent.
Imagine life not as it is but how you want. If you manage to imagine it, but it is not at first so easy, try to determine the cash equivalent of his target. Then start looking for opportunities and ways to realise this goal.
Don’t forget: the achievement of wealth is a game with its own rules, so to get comfortable, attempt to play any sports games. You ask: “Why?” The fact that rich men more than women, because they play to achieve victory. You also need to get used to the idea that you play to win, not to participate. How to create a personal financial plan.
3. You don’t trust your intuition
Important in achieving financial independence will trust your intuition is something that we have developed better than in men. Learn to listen to her, she will tell you what to do. Don’t be afraid to say no, especially when the request comes from a loved one. A frequent example is when friends ask for a loan “to paycheck”. Don’t be afraid to say no, to be an outstretched hand to the end of the month.
4. You forget about yourself and your health
The next mistake is to forget about yourself and your health. Remember: you are your most important asset, follow him – time to go to the doctor, attend a gym, go on vacation, find a hobby. Insure your life and make it a rule to save for retirement with each paycheck.
Life example: a woman, 45 years old, divorced, 10-year-old daughter. Work in the civil service, employment experience in the last 15 years, stable career, everything is fine. And so gradually, the woman notices the deterioration of health. Because of the constant overload at work she’s postponing the visit to the doctor until something bad happens – a heart attack. Then rehab for several months, long-term sick leave from work and penny income. The daughter in the care of the grandmother-pensioner. They have to sell the car, change the flat on the housing in a smaller area with an additional charge to get the money to live on. If the woman had life insurance and a reserve Fund for contingencies, all of this could have been avoided. This is a very common financial mistakes women make.
5. You have your own savings
Another extreme women in this sense to think of anyone but yourself. The minimal necessary to stash your regular monthly expenses multiplied by three. For example, if in a month your family spends 50 thousand rubles, you must have a “stash” of 150 thousand rubles. And it is a minimum. To save money it is better not to cash at home (the temptation to spend), and the Bank to replenish the Deposit with possibility of partial withdrawal without loss of interest. I remember a case when one lady tried at home in cash to save “reserve Fund”. But constantly dragged him money for “unforeseen needs” a new coat, the right pair of shoes and as a result, during the three years of its accumulation did not exceed 10 thousand rubles., and when her parents took urgent minor repairs at the cottage, she took out a loan at 30% to help them.
I believe every woman needs to be sure that there will be nothing that ever happened in her life. Children grow up, the marriage can break up, but she is sure to 50-60 years should be their own savings, which will allow her to live at a decent level, not depending on someone, including from the state. But often I meet ladies who and in adulthood all of their funds are directed to the help to their adult children and their children, while not having their own savings.
6. You make impulsive purchases, to stave off boredom or to lighten the mood
Now a bit about behavioural Finance errors, which are mostly more characteristic of women than men. Making shopping to alleviate boredom or to lighten the mood, women often go over the credit limit. Your main task is to make a shopping list before you go to the store and do not rush to part with the money if cost of purchase 100-200$. Don’t be afraid to think it or not. Set a spending limit before the holidays, always define an approximate budget or pocket money” and try not to get out of it.
7. You have to spend money to save money
You come to a wholesale store and buy a cheap one, and 10 cases of juice boxes, which then go bad, or you just get bored. Use sales wisely: plan your purchases subject to sales. Many of my clients combine the annual vacation and shopping because shopping abroad cheaper plus in many countries it is possible to issue tax free and save up to 20% of purchase cost.
8. You don’t save money? Start saving right now!
A simple example: if at age 25 you save $ 100 at 8% per annum, 55 you will have on account of 146.000,04 dollar.
And yet, if you want to have passive income in 40 thousand RUB, you will need to set aside each month into a Bank Deposit not less than 25 thousand rubles. for 10 years! If you think about it for 3 years before you get your first passive income, the income of 40 thousand. you need to be within three years save for a Deposit already for 130 thousand rubles. per month. The moral: the earlier you think about your goal, the less investment will be needed and the less will be the burden on the budget.
9. In financial matters you turn to friends
This is one of the most common women’s mistakes! You consult with friends, roommates, relatives — I recommend to my clients to remember that each one has a unique situation and to find the financial solutions you need “by itself”, not “like girlfriends”. Who can help you understand finances and build your financial plan to achieve all the planned goals? Of course, the professional in this field as in other fields (medicine, education, etc.), you seek the advice of a specialist.