September 3, 2013

Financial Independence for Women

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Need of the hour.

A lil hatke topic for WriteTribe’s Festival of Words – Day 2 and the theme for the event is ‘SEVEN’

Money
Being employed in one of the coolest joys to enjoy in early twenties and so is ‘SHOPPING’. Especially for women! * bleh Presenting a collection of 7 points, every earning woman, MUST consider in her Finance Brainstorm.

1. Plan as EARLY as POSSIBLE
Yes, start off with your savings and investments as soon as you can. This helps you build a better surplus and also allows you to be flexible over the years rather than burning large holes in your pocket later in life. List down your goals into two categories.
SHORT TERM GOALS (having a span on a year or 2) like festivals, family get-togethers, friend’s wedding etc.
LONG TERM GOALS (having a span on a year or 3 years and above) like buying a car, home and similar aspects. Rate each goal on the scale of 1 to 5 with 1 being of utmost importance.
Include Emi’s or payments if any and tally upon how much is your gross investible total. Divide between your goals on basis of priority and kaboom you have a plan set :)

2. Contingency Fund
Accidents occur. Incidents happen. An emergency might arise out of nowhere. As soon as you save a good amount, shift it to a place you can access it at 11th hour. Think of this as a handy backup.

3. Insurance is NOT and investment
One of the biggest misconceptions is to consider Insurance as an investment or a TAX-SAVER. NO, it’s an ESSENTIAL.  Do not consider your Insurance plans as an investment for other goals. Keep it for the reason you bought it – to INSURE!

4. Financial Help
Confused on your plans? Finding it difficult to rate your goals? Don’t know the trends to manage finance? Get help. Talk to your network and take help of a financial analyst. It’s better to be safe than sorry.

5. Invest wisely not emotionally
Here comes the ghar-parivaar. Do save/invest for your family, but do it wisely. Gauge through all available options for any steps you take. Keep future aspects in consideration. Afterall, you are planning for someone else.

6. Plan for inflation
As the country progress, so will the inflation. An insurance cover of 1lac might be TOO less 5 years down the lane. So will your expenditure increase over the years. Keep in mind the rising prices and tune your strategy.

7.  Need of the hour
Planning your finance is a must for a working woman as they are automatically classified into being Independent. But at the end of the day, its not just being independent but also being smart :)

Cheers,
Onomatopoeically,

15 comments:

  1. Some wonderful tips and advice here. These are a MUST DO for every woman. Thanks for sharing! :)

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    Replies
    1. Thank you Shilpa, I collected these points from parents and friends.

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  2. ohhh dats some smart piece of advise that every woman should latch on to...keep writing :)

    you can check out my post here:-
    Karan - Grand Mother

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  3. these are such a must.

    I am really bad with money and will look deeper into these tips. Thanks :)

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  4. Does anyone ever heed that advice - treat Insurance as Insurance and do not look for returns from it? Needful advice though - for men as well :)

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    Replies
    1. :-D hehe yes some points hold true for men too!

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  5. These kind of advises should always be kept in mind...after all this is the money matter and money really matters...smart post

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  6. Educating read..great tips for every woman to consider..

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  7. Must do for everyone, esp for someone like me.
    By the end of a month I'll be like penniless. And the best part is I just don't know where my money goes. Pathetic, no?

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    Replies
    1. hahaha, Same pinch, By the end of the month, I am busy figuring out where my money drained!

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  8. These are really great for every independent women....I must say to my wife to read this blog...

    financial independence & first impressions

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