Basic Financial Matters Every Woman Must Know

Many working women are reluctant to look into their financial health as they assume it is going to be a complicated matter.

Sharing some basic knowledge of financial matters for women to facilitate her wealth creation.

Include all household expenses, monthly bills, down payment in it. Plan monthly budget on the first day of every month.

An easy way to identify areas where you can save up more money. Analyze your spending pattern.

This percentage need to go up as your income grows with work experience. At the start of career, every woman must save at least 10% of her income.

You must have enough savings to manage expenses for 3-6 months. Create an emergency fund.

Assign a timeframe to meet each of your specific financial needs – a dream vacation, a new car, an expensive jewelry set, and more. Set saving goals.

Do not splurge this money on impulsive buying. Take your time to decide on some smart investments. Manage extra cash flow.

Get a grasp of 3 main asset classes for investment - equities (stocks), bonds, and mutual funds.

Talk to a reliable financial advisor to understand them better. Each asset class has different set of risks and return of investment.

Make sure to have adequate coverage for healthcare, life, disability, and property. Know your insurance needs.

When it comes to choosing the amount and type of insurance, keep in mind your needs and that of dependents in the family.

Read offer documents carefully, compare different insurance policy options and then finalize for the best rates and benefits.

Update nominees on all bank accounts and policies.

Keep all finance related documents in one safe place.

Be aware of different possibilities of online financial frauds. LAST BUT NOT THE LEAST: