Hi, I’m Jessica Moorhouse, and I talk about money all the time.
And one thing I found is most people find money very uncomfortable, even I find it uncomfortable sometimes!
And I think that’s largely because we associate money with things like shame or the fear of keeping up with our peers.
But the more interest we take in our finances, the easier it gets and that will just help us build those helpful money behaviours, build our confidence and ultimately help us make better financial decisions moving forward.
Why is talking about money so important?
Because of things like the gender wealth gap.
I mean women typically take more career breaks because they’re usually the go-to caregivers for children and elderly parents, and what this means is women usually end up with less assets and less wealth during their lifetimes because of it.
Data also shows that women typically delegate financial management to their partners and you know many marriages end in divorce and women typically live longer.
Well you may end up vulnerable and in a worse financial position than you thought if you aren’t fully engaged in your own finances.
You may be interested to know that generally, women are better savers and investors than men, but because of things like the gender pay gap, and you know the investing world has typically been pretty male-dominated, many women tend to still park their cash in savings instead of investing, missing out on potential returns.
What are some misconceptions people have about money?
So one misconception is you need to be good at math, or numbers, or work in finance to be good with money, or another is that you have to be born into wealth to be successful and have a comfortable retirement.
And those just aren’t true.
Anyone can learn how to manage their money better.
It is not rocket science and your past does not dictate your financial future.
What are some steps people can take to break the money taboo?
First, taking a look at yourself and ask:
Am I happy with how I’m managing my finances?
Should I be more involved?
What should I change?
And then make a budget if you don’t have one, take a look at your net worth, know where you’re at financially.
And lastly, talk about money.
Stop making it such a secretive thing.
Talk to your partner, your friends, your family or a professional, and I’m not saying you have to talk about numbers or how much you earn but start talking about it in general and asking questions.
It will make it seem like not much of a big deal because it really isn’t.
Before you make any decisions with your money, I want you to take stock of your finances. And that means making a budget and understanding do you have any debt. How much? What your net worth is, but especially what are your goals and what do you want to achieve?
To learn more, check out the tools and articles linked to this video.