Take Control Of Your Finances: Personal Finance Expert’s Advice For Women

By Martin B

Suze Orman, a personal finance expert and co-founder of SecureSave, recently spoke to a network about the distinct differences in how women and men handle their finances.

The expert believes that women can be their own worst enemies when it comes to financial management and that taking control of one’s money is critical for their future. In her podcast, which has a large male following, she provides advice on how women can strengthen their relationship with money.

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Orman notes that many women who are 60 and older and have lost their spouse realize that they are in the dark about their finances because they let their partner handle the bulk of the responsibilities.

To help women become financially empowered, Orman suggests that they start with savings. According to a study conducted by her organization, just over 20% of women can cover unanticipated emergency expenses through cash payments, while over 40% of men have the ability to do so.

The finance expert advises women to ask themselves some key questions to test how much they know about their money.

Some of the crucial queries to consider are whether individuals are aware of the interest rate on their mortgage, the present interest rate offered on their savings account, whether the funds invested at a brokerage firm are insured, if the funds in their 401(k) scheme are safeguarded, and the specifics of their 401(k) or other retirement plan investments. If women can’t answer “yes” to all of these questions, Orman considers it a financial wake-up call.

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Aside from refreshing their financial expertise, Orman recommends that women make some critical alterations. Women should focus on accumulating their savings, which should be held in a bank, credit union, or government short-term money market fund for convenience of access.

Women should also have a credit card exclusively in their own name and should make paying down credit card debt a top priority. As interest rates surge, resulting in higher costs for holding credit card debt, it is crucial to prioritize paying down outstanding balances.

Orman emphasizes that it is vital for all women to maintain a savings account, whether it is provided through their employer or set up independently.