29 September 2020 | 5 min read

Future Planning Tips That Every Women Should Follow


What’s the common denominator among all the rich women of the world? Well, apart from being rich, they are conscious of money and have their financial independence in their hands.

This is not the norm in our country. Agreed, we have come far ahead in terms of women working and living all on their own. But when it comes to taking major finance-related decisions or starting a new investment plan , a lot of women still rely on their husband/father.

For the few who do want to take charge of their money, getting the right guidance becomes a challenge. This is why educating yourself on matters of money and asking the right questions to the right people can make all the difference. On your path of becoming a financially independent woman, you will need to take risks, be confident about your choices and save enough so that you always have something to fall back on. Read on to know how you create a financial plan that best suits you.

The best time to start controlling your money, savings and investments is from your first paycheque. However, if you missed out on that milestone, there is always now! Here are the tips that will help you become a financially independent woman.

Tips For A Financially Independent Life

Having a financial foothold helps you in a lot of ways. You don’t have to rely on anyone for your own expenses. Plus, money is a great self-confidence booster because with big saving comes mental peace and of course, financial independence. Thus, it becomes extremely necessary for every woman to come up with a good financial plan. This will also help in devising a future plan as per your timeline and priorities.

The best time to start controlling your money, savings and investments is from your first paycheque. However, if you missed out on that milestone, there is always now! Here are the tips that will help you become a financially independent woman.

1. Do Away With All Your Bad Debts

Remove your debts

Financial independence starts with zero debt. You can have all the right ideas and investment options in the pipeline, but none of it would make a difference unless you clear off all your bad debts. From EMIs to that crippling credit card debt, make sure you pay it all off before you start with any form of investment.

2. Save. Save And Save Religiously

Remove your debts

Once you have paid off your bad debts, the second most important thing to do in order to overhaul your financial independence is to start saving. A no-brainer, right? Yes, it is but this is where people, not just women, tend to slack. Pick up the calculator and do your budget monthly or weekly. Make sure you don’t overstep your limit and always, always try to put away extra money in your savings account. This is how you save for the betterment of your future and your plans ahead.

3. Start With Financial Investments

Remove your debts

Future planning for women often tends to stop at this -saving! But if you really want that financial independence, you cannot let your money sit idle in the bank. Because that way you earn a measly interest rate per annum. On the other hand, if you are serious about growing your money, you need to invest it in the right avenues.

Now, most women are scared of this term itself and might associate it with risk and loss because that is one of the perceptions created about investments in our mind. The good news is that it is nowhere near true. When done in a smart manner, investments in Mutual Funds that are debt and equity driven, you can earn huge returns over a long period of time. If you are a novice in the matter of money and investments, do your research or simply hire a financial advisor who will help you out.

But make sure you invest your money in SIP , Recurring Deposit or Fixed Deposit and other avenues because this will definitely help in growing your money which would otherwise lose its value thanks to inflation.

4. Get Yourself Insured

Remove your debts

To say the least, life is highly uncertain. And this is why getting yourself a good life insurance should be on your priority list. You can grow your money, invest in the best possible funds and earn that six-figure salary, only if you have your mental sanity intact. This is why getting yourself that life and health insurance should be one of the first investments you make.

It not only gives you a sense of peace but is also something that will help your loved ones in case anything unfortunate happens to you tomorrow.

5. Create An Emergency Fund

Emergency fund

As we are already discussing about the uncertainty of life, there is nothing better than creating an emergency fund for yourself. A contingency corpus is excellent in case you lose your job, or any unforeseen event happens tomorrow that requires large and instant liquidity. Once you have started your investments, make sure you take time and put away little money towards building this emergency fund as well.

6. Learn All About Tax-Saving

Tax saving

This is something a lot of women tend to overlook. If you are investing in the right schemes like PPF, NPS and ELSS, you can easily save at least INR 50,000 per year on your earnings. Amazing, right? All of this is possible for salaried women under the section 80C of the Income Tax Act. Learn more about it and invest accordingly.

Advice From Women Who Have Done It

Expert advice

Now that you have all the financial tips you need to chart out your own journey, here are a few motivational tidbits from successful women who became financially independent before it was even a thing.

Become more confident in your choices. The number one path to independence, of any kind, is by relying on your own judgement and decisions. Take a little risk and go for that leap of faith when starting something new. This is what Katty Kay and Claire Shipman, authors of ‘The Confidence Code’ had to say when it comes to women on financial independence and almost every walk of life.



You May Also Like

Trending on Live More Zone