Financial Planning Helps You Become More Confident & Capable
Management is a quality, which is very deeply imbibed in women. Be it on a professional or personal front. Women can be seen managing a lot of things at a time. Juggling with so many roles at a time, after all, needs a lot of management in terms of time, stress, work–life and most important finances.
In spite of managing everything else efficiently, it is often seen that women take a step back when it comes to money management. Probably, due to the risk factors that are associated with it, sometimes, it is because of our baseless fears of being unable to handle or manage money wisely. But, all it needs is, a little bit of awareness, knowledge and implementation in a smart manner. Managing the finances on an everyday basis, brings more clarity and independence. Money management does not necessarily involve huge investments, but understanding the flow of money on a regular basis. However smaller the amount may be, it needs to be prioritised and implemented accordingly.
Money management does not necessarily involve huge investments, but understanding the flow of money on a regular basis.
While managing money, few things should be kept in mind, which I personally follow on a regular basis:
- At the beginning of the month, analyse the tentative income sources and expected expenditures. This would require some planning to understand and evaluate the inflow and outflow of money.
- For the major expenditures, that are recurring in nature, keep the amount separately to be paid on the tentative dates in the coming days. Don’t even think of touching that amount. Assuming that this particular amount doesn’t exist, will help you restrict yourself from using any of that amount which might cause financial imbalance ahead. If using cash, prefer keeping these amounts in separate envelopes.
- Ensure to make all your payments as early as possible. Clearing all the bills/ payments, helps you to understand the cash flow and this helps in further planning for any other things or necessities.
- One of the most important things, is to ensure that you keep some amount as a part of your savings. Treat it like an expense and keep it aside. Invest a small portion somewhere, which is deducted from your account as SI / EMI. With this habit, you will always have a compulsory saving even when you think, you have nothing to invest.
- For bigger amounts, or the money which needs to be invested, search for various options available which would be the most fruitful as well as rewarding depending on your priorities or the ability to take a risk.
These simple ways to manage money, although, not very difficult to follow; but, still require some planning and organising. But the planning will be effective when you follow certain goals. Always ensure to set some long-term financial goals and smaller goals to achieve that. It is as important as any other goal setting for your career or personal life. This financial planning eases out many other possible problems. It helps you become more confident and capable.
Always ensure to set some long-term financial goals and smaller goals to achieve that. It is as important as any other goal setting for your career or personal life.
When a woman follows her passions, it makes her independent. But if a woman learns to manage her funds along with her various other goals, it makes her more worthy and stable.