Financial Tips For Every Young Woman

Learning how to properly invest and grow wealth should be on every woman’s to-do-list.  The mantra that can help every woman manage their money well is – earn more, save more, and spend more. First earn money through your job or gig work, then save a portion of that money without fail, and finally ‘spend’ that money by buying into an investment that can help you grow your wealth.

Below are three basics that you need to keep in mind while investing your money:

Choose the Right Way to Invest

There are various investment avenues that you can choose from. Nowadays, most people prefer to use online investment apps or websites. Just like other products, online investment plans are cheaper, convenient, and instinctive.  You can choose to directly start investing online or you can go through an intermediary who can provide you with financial advice. However, be careful while selecting your financial advisor. Ensure that they are experienced and have your best interest in mind while investing your money.

Choose the Right Investment Plan

Choose the best investment plan as per your needs and risk appetite. If you have a very low-risk appetite, then choose a guaranteed return savings plan. If you have a moderate risk appetite and wish to reap the market’s benefits, then you can choose to invest in Unit Linked Insurance Plan (ULIP). Estimate the returns. Consider all factors like compounding, additional allocations, and tax benefits.

Also, take the duration of the investment into Consideration. For how long can you stay invested? And don’t forget to look at the post-tax returns of an investment avenue. Will the returns be tax-free? Or even if it is not tax-free, are the returns profitable enough to benefit your financial goals? Ask yourself all these questions before finalising any investment purchase.

Keep it Simple

Irrespective of what your financial goals are, you need to understand that a complex investment strategy may end up de-motivating you. If you are not financially savvy then don’t worry, you can always hire the help of a professional financial advisor. Alternatively, you can keep your investments simple and just choose a plan that gives you regular growth over time. Avoid overcomplicating your investment strategy. Keep things simple, at least while you are starting your investment journey.

Siddhant Dubey - Writer & Photographer

Siddhant works as a freelance content writer who is interested in a wide range of spheres from photography and personal finance to cooking. He is also an aspiring photographer striving to showcase life around him through his vision.