TomorrowMakers

Money may not make the whole world go round, but it plays an important part in our lives. There is no end to money management tips; just make sure you don’t fall for these common money myths as well.

5 Myths about money all women should ignore

From finance blogs and YouTubers to experts on television and friends and family, there is no shortage of financial advice today. It could be on how to earn money, save money, or invest money. Unfortunately, along with good advice, there are plenty of myths about money thrown in as well. Here are some common money myths you would be better off ignoring:

  • Don’t choose credit: 

Credit options like loans and credit cards have a bad reputation due to their potential debt trap. But sometimes, they are a better option than debt. Taking a loan can be better than spending all your savings in one shot, and credit cards can offer great rewards and bonuses. That doesn’t mean you should whip out your credit card at every payment. Only do so if you are sure that you can repay the entire amount before the due date. Use your credit card wisely, always making sure to pay the bills on time. A good credit score can help you get lower interest rates on loans if you should ever need them.

Related: 5 Myths About Credit Cards Busted

  • Stick to traditional ‘safe’ investments: 

Many people believe that investing in the stock market is only for rich people, but this is not true. You can build an investment portfolio with the help of a financial advisor. You don’t have to stick to only traditional fixed income instruments such as PPF. Neither do you have to invest in stocks unless you are comfortable with the risk attached.
Mutual funds are a great middle-ground for people looking for a healthy profit on their investments. Mutual funds come at different risk levels so that you can choose a healthy mixture of risk and returns.

Your partner is in charge of money management, so you don’t need to worry about it:
Today, a working woman in the family is more a norm than an exception. So, if both spouses are earning, why should only one handle the finances? Both spouses should take an active role in handling the family’s finances. 

Related: 4 Myths About Women And Money You Need To Stop Believing

  • You don’t need to worry about retirement when you’re young:

When you are starting a career, you may not want to think about your retirement. But the younger you are when you start saving for your golden years, the better value you will get on your investment. For example, if you start a term life insurance or an annuity plan for your retirement, the premiums will be far lower if you start it when you are young.

  • Budgeting is not for you:

If you are scraping by financially, you should budget to save enough each month. And if you are earning well, then you should budget to avoid overspending. A good budget or personal financial plan will help you make wise financial choices that will serve you well throughout your life.

Related: Myths Women Need To Stop Believing About Their Relationship With Money

Thus, it is never too late to work on your finances. Start with baby steps. Ignore these myths and make smart financial choices today. Your future self will thank you for it.

From finance blogs and YouTubers to experts on television and friends and family, there is no shortage of financial advice today. It could be on how to earn money, save money, or invest money. Unfortunately, along with good advice, there are plenty of myths about money thrown in as well. Here are some common money myths you would be better off ignoring:

  • Don’t choose credit: 

Credit options like loans and credit cards have a bad reputation due to their potential debt trap. But sometimes, they are a better option than debt. Taking a loan can be better than spending all your savings in one shot, and credit cards can offer great rewards and bonuses. That doesn’t mean you should whip out your credit card at every payment. Only do so if you are sure that you can repay the entire amount before the due date. Use your credit card wisely, always making sure to pay the bills on time. A good credit score can help you get lower interest rates on loans if you should ever need them.

Related: 5 Myths About Credit Cards Busted

  • Stick to traditional ‘safe’ investments: 

Many people believe that investing in the stock market is only for rich people, but this is not true. You can build an investment portfolio with the help of a financial advisor. You don’t have to stick to only traditional fixed income instruments such as PPF. Neither do you have to invest in stocks unless you are comfortable with the risk attached.
Mutual funds are a great middle-ground for people looking for a healthy profit on their investments. Mutual funds come at different risk levels so that you can choose a healthy mixture of risk and returns.

Your partner is in charge of money management, so you don’t need to worry about it:
Today, a working woman in the family is more a norm than an exception. So, if both spouses are earning, why should only one handle the finances? Both spouses should take an active role in handling the family’s finances. 

Related: 4 Myths About Women And Money You Need To Stop Believing

  • You don’t need to worry about retirement when you’re young:

When you are starting a career, you may not want to think about your retirement. But the younger you are when you start saving for your golden years, the better value you will get on your investment. For example, if you start a term life insurance or an annuity plan for your retirement, the premiums will be far lower if you start it when you are young.

  • Budgeting is not for you:

If you are scraping by financially, you should budget to save enough each month. And if you are earning well, then you should budget to avoid overspending. A good budget or personal financial plan will help you make wise financial choices that will serve you well throughout your life.

Related: Myths Women Need To Stop Believing About Their Relationship With Money

Thus, it is never too late to work on your finances. Start with baby steps. Ignore these myths and make smart financial choices today. Your future self will thank you for it.