Women’s financial independence is becoming a critical necessity rather than a trendy topic.
In today’s fast-paced world, women’s equal prospects, well-being, and personal growth depend on their financial independence.
Women who are financially independent are better able to take charge of their life.
Here, I shall discuss ‘why’ and ‘how’ women can achieve financial independence.
Why should women be financially independent?
1. Become More Confident
The process of achieving financial independence takes a lot of time and effort. Saving and investing money requires a certain amount of persistence and sound decision-making abilities. You will therefore inevitably begin to feel stronger and more confident in yourself as the procedure progresses.
Furthermore, every woman needs to have a solid financial foundation for her own safety. For example, because of financial limitations, women in toxic households are forced to stay there.
Thus, having a solid financial base is crucial.
2. Have Freedom to Make Life Choices
As a woman, you can make your life’s choices without having to be dependent on someone else when you are financially independent. In fact, you no longer have to face economic limitations. Whether you want to study further, or follow your passion, you can do it on your own.
You will eventually begin to feel in charge of your life and accountable for it. It results in an increased sense of independence and self-assurance.
3. Prepare Yourself for Bad Times
Life is really unpredictable and so, it’s a must to have a backup financial plan to save you from a freefall. Happenings such as sudden medical bills, or periods of financial hardships can be hard to survive without an emergency fund. Staying proactive, you can smoothly pass through such situations. Lastly, you will be at peace with yourself, avoiding any rush.
Read more: 6 Best Health Advice for Girl Child
4. Healthy Relationships
When you and your partner both make financial contributions, financial independence builds a solid and healthy relationship.
Furthermore, there is a common feeling of responsibility and respect for one another. As such, you and your spouse feel comfortable discussing financial issues.
5. Better Financial Planning for Kids
As time advances, price inflation continues to increase and even necessities become more costly. However, in India, just 32% of married women hold a job.
Married women are primarily housewives. Savings therefore becomes quite challenging, unless their spouse earns a very substantial salary.
That way, financially independent married women can plan for their children’s future.
6. Inspire Little Girls
Little girls often take women around them as their inspiration.
In fact, girls looking at their working mothers feel inspired to become like them.
So, you aren’t only working but also becoming a role model to others. Isn’t it so amazing?
7. Empower Yourself
Many disciplines in our society, such as engineering, are dominated by men, which causes women to face the stigma, “Women aren’t made for this.”
But now that women are entering these traditionally male-dominated fields, the numbers are starting to change.
You feel more assertive and confident when you work and are financially independent.
Read more: 6 Tips for Mental Health for Teenagers.
8. Ensure a Safe Retirement
Securing a stable retirement is intricately tied to the attainment of financial independence. While saving for day-to-day living is a fundamental aspect of retirement planning, it extends beyond to encompass the envisioned lifestyle post-retirement.
Contemporary financial strategies now allow for investment in retirement plans, with some programs offering a steady pension based on lifetime assets. The key lies in early retirement planning during one’s active working years. Taking proactive measures as soon as possible becomes paramount in ensuring a robust financial foundation during the crucial phase of retirement, providing a sense of security and peace of mind for those golden years.
How To Become Financially Independent?
There are practical steps involved in becoming financially independent as a woman.
1. Spend Your Money Well:
To reduce overspending and encourage financial awareness, create a monthly budget and track your costs.
2. Make saving and investing a priority:
Invest and save money on a regular basis, taking use of compound interest plans to achieve rapid growth. Streamline these procedures to prevent wasteful spending and guarantee consistency.
3. Careful Buying:
Give yourself an hour to consider whether an impulsive purchase is necessary. Reducing unnecessary spending helps you save money and maintain your financial stability.
4. Create an Emergency Fund:
Create emergency savings to deal with unforeseen circumstances and guarantee financial stability during unplanned events like medical crises. To prevent debt, make sure you pay your bills on time and use credit cards sensibly.
5. Knowledge of finance:
Learn about money management through books, magazines, and seminars. Become more knowledgeable about investing, planning, and budgeting.
Conclusion
As a woman, being financially independent is extremely important in today’s era.
In addition to the outlined strategies, women can bolster financial independence by embracing side hustles such as remote work, private tutoring, freelancing, blogging, and content writing.
These additional sources of income give women freedom and independence, enabling them to increase the variety of their income.
If you have a child and other responsibilities, you can opt for remote work or start with a skill in your home’s comfort.
Also read: How contemporary women are defining the present world.
