Being a woman is expensive. The so-called Pink Tax (additional “women’s” expenses) in the United States is $ 82,000 on average for a woman’s life. Women’s products are more expensive than men’s counterparts ($ 5 for a set of men’s shaving razors, and $ 7 for a set of women’s), women tend to spend more on housekeeping, food, toys and clothes, women need hygiene products, cosmetics, and so on … , it’s not easy for us. And in addition, we ourselves, as on purpose, often harm our financial well-being.
What are the most common financial mistakes women make?
Hope for a miracle
A girl came for a consultation, a producer, she earns great money. She also spends well, has no idea where her money is going. The reason for the appeal was formulated as follows: “I am thirty-two, and it seems that I have enough hope for a miracle.” Women often put off the moment of honest meeting with their financial situation and hope that “maybe not necessary.” Why am I going to bother now if I get married successfully? And it’s too early to think about a mortgage, suddenly I’ll get an inheritance. And if I move, everything will be different in the new country, there is no need to waste time and energy now. From the same series, the hope to create a super-successful startup and the attitude “everything will work out somehow”. Unfortunately no. Only cellulite is formed by itself. And to create capital will have to strain.
Don’t wait for a better moment, start now and with what is.
Don’t take your business seriously
“I organize events, I work as an individual entrepreneur. True, the SP is registered to my boyfriend. And I also have a share in a friend’s advertising agency, we agreed on everything in words.”
“I don’t know how much I earn. It seems to be enough, but I don’t understand whether my business is successful or not.”
“My SP is used by a friend to transfer money. What kind of translations? Do not know…”.
“I can’t estimate my personal expenses. Now the accountant has to pay, then the contractors, then for the child’s garden. It’s hard to separate personal and business.”
The mistake of women entrepreneurs is not to be formal about business finance. Build business relationships on verbal agreements, trust your money to friends and boyfriends, pay for the nanny and the supply of fabrics from one card. The consequences can be extremely unpleasant. From useless activity, which only pretends to be a business, and does not bring real profit, to a real loss of business and money and problems with tax. Whatever you do, no matter how small your business is, immediately build a solid foundation. Enforce your rights legally, study the numbers, calculate the profitability.
“Invest” all the money in children
“I invest all my money in children. Early development, education abroad, help with housing. It does not remain on itself yet. Well, at least the daughter grows up – she will take care.”
This strategy has every chance of failing. Children drop out of prestigious universities and volunteer for Africa, get married unsuccessfully, and they may not have a career. And even if everything goes according to plan, they will have enough of their own worries too. They will have to look for work in the world of artificial intelligence, provide for their children, and fight burnout – it is difficult to predict what they will have to face. So let’s give the children a gift – we will take care of our financial independence in advance. And then we will only come to visit our grandchildren with generous gifts.
When investing in children, do not forget to take care of your financial well-being.
Give out money
Women spend more money on charity than men, often lend to friends, and overly support adult children.
“I help my son rent an apartment, the boy needs help. He’s 28, yes.”
“If I received an inheritance, I would immediately give half to charity.”
“What if they ask for a loan, but I don’t want to give? How not to ruin your relationship? I can’t refuse.”
Add to this the inability to say no to the obsessive salesperson. It’s all about unwillingness to protect your money. Fear to seem bad, to upset people and the universe with their excessive, as it seems to us, prudence. As a result, we think about others, not about ourselves. Just like on an airplane – put the mask on yourself first, and then on the child.
Take care of your financial well-being first, and then help others.
Attract the energy of money
Recently, I looked at several American financial courses, where, to my surprise, esotericism ran like a red thread. Courses aimed at women, of course. University programs begin with the textbook “start keeping track of expenses,” while women’s programs start with setting the right mindset. Good old affirmations are hidden behind the bouncy wording. “I love money and money loves me”, “I am a magnet for money,” “my wallet attracts abundance,” and other optimistic statements. “Change your mind and your relationship with money will change forever!” If… By the way, I am not against a positive attitude. Just let it go in addition to affirmative action. Yes, and still would change the wording. Write down expenses – “I am learning to manage my money”, postponed a purchase, which was in doubt – “I am developing a wise attitude to money.” In general, focus on actions with the right attitude!
And then the relationship with money will definitely improve.