fbpx
Tuesday, March 9, 2021

Women and money

This is why women must learn to handle their own finances

Reading Time: 3 minutesWomen and money.Indian Link
For most migrants, the early years of settling into a new home are a time of careful money management, if not financial crunch.
From the smallest purchase of kitchen basics, to the major acquisition of their first property, their financial journey is fraught with cautious organisation, and navigated through balancing work and family life, kids’ schooling, and oftentimes, responsibilities of family back home.
Gone are the days when men traditionally took control of the family finances, especially as Indian migrants to Australia are increasingly falling in the educated middle-class category. Yet, the need is stronger now for more women to gain more knowledge and understanding about money and its management.

Women and money.Indian Link
Source: moneysmart.gov.au

Today, when women have more choice than ever before, a higher level of education and qualifications than ever before, higher paid jobs than ever before (that significant pay gap notwithstanding), there is no excuse for them to lag behind in their financial management skills.
It is important that they do take time out and start understanding the bigger picture of wealth creation, so that they are financially empowered and take those day-to-day decisions with proficiency.
Upon migration, men may find work quicker and start on their employer-funded mandatory superannuation savings sooner, while their partners may take longer to get into the work force or work less hours as they juggle with their maternal and family responsibilities and work.
With these constraints and a pay gap with their male colleagues, according to the Association of Superannuation Funds of Australia, a woman’s superannuation balance is on average 43% less than that of a man. Their research shows that average super balances at retirement currently are $292,500 for men and $138,150 for women. Estimating that a single person needs about $800 per week in retirement, they need to have over $500,000 in superannuation for a comfortable old age.
Another issue to note is that the average life expectancy of women in Australia is 87 years, higher than that of men at 83 years. This means that women will need more funds, and be able to manage their own savings at some point in their life.
 
So there’s a high likelihood that due to death or even divorce, women may have not only less savings, but will also be solely responsible for their household’s financial management.
Women simply have to get serious about their own financial planning. They need to understand cash flow management, budgeting and planning their monies.
They also need to understand about the various types of insurances available in Australia. In the past few years, there have been unfortunate incidents where a partner has passed away unexpectedly and appeals to the community have gone out to help with short-term expenses for the family. The community has rallied behind the families at these traumatic times. However, to ensure there is long-term security for the family, it is important that the appropriate type of insurances are in place. Women must take greater initiative in understanding and implementing this for their families.
Women and money.Indian Link
But where to start?
First up, ask questions. Ask friends and family about what they do, and how. Do not be afraid to ask questions on money matters, even if they appear trivial to you.
Get involved in the day-to-day management of your family’s finances if you are not already doing so.
Read about money matters in major newspapers, and listen to related discussions on TV and radio. Use social media to understand more details.
Take time out to attend financial management programs for women. A number of work places and superannuation funds run women-only seminars. Seek these out and let your partner mind the little ones for the evening, while you go out to learn more at these forums. Get empowered in any way you can.
Alongside your professional, physical and emotional well-being, set some time aside to plan for your financial well-being.

- Advertisement -
Pawan Luthra
Pawan Luthra
Pawan is the publisher of Indian Link and is one of Indian Link's founders. He writes the Editorial section.

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Podcasts

Ep 9: What do young Indians want from love?

0
Growing up in Indian culture, most of us know that love has never been as popular as marriage. Even in the movies, the main...

Ep 8: Indian links in Indigenous Australian poet Ali Cobby Eckermann’s...

0
To celebrate NAIDOC week 2020 (between 8-15 November) I spoke to Yakunytjatjara poet Ali Cobby Eckermann about her time in India where she taught...

Ep 7: In the case of Sushant Singh Rajput

0
  The torrid and high-octane Sushant Singh Rajput case has been fodder for Indian people and press for the last few months. The actor’s tragic...

Latest News

mitali modi with kamala harris

Shattering glass ceilings: Mitali Modi on working with Kamala Harris

0
  Emboldened to take action in an era of heightened political polarisation, racial unrest and an uncontainable pandemic, young Indian American Mitali Modi talks here...
The free dialysis centre in Delhi's Gurudwara Bangla Sahib. Source: @mssirsa/Twitter

Free-of-charge dialysis hospital at Delhi’s Bangla Sahib Gurudwara

0
  A 101-bedded dedicated free-of-charge kidney dialysis centre is up and running at the premises of Gurudwara Bangla Sahib in New Delhi. The Delhi Sikh Gurudwara...

We asked children around the world what they knew about COVID

0
  During the pandemic, children have been separated from family and friends, schools have been closed and there have been limitations on important activities, such...

Flexible work arrangements help women, but only if they are also...

0
  Flexible workplace policies designed to improve gender gaps in employment and pay might actually make things worse for women. Flexible work has been on offer...
Guess The Song rj ekta

LISTEN: Will you be the one to correctly guess this tune?

0
  Are you good with guessing tunes? Keen ear for rhythm and beats? RJ Ekta might've been able to stump you with this one. She recently...