The Money Habits Every Successful Woman Should Adopt
We’ve hit the time in our lives when we’re more concerned about where our next investment is coming from rather than our next meal—hooray! And rather than living paycheque-to-paycheque, we’re calculating how much we can save year-after-year. We know now is the time to change our financial habits for a brighter—and wealthier—future. Sporteluxe recently spoke with Damon Rasheed, CEO of rate comparison site, Rate Detective, and former economist with the Australia's competition and Consumer Commission who revealed his top tips on how to manage our finances successfully. Read on and start being savvy with your pennies—your bank account will thank you for it later.
Ask for a pay rise
“As a general rule, bosses don’t hand over money! If you want to get paid what you are worth the only way to achieve this is to ask for it,” says Rasheed. “The discrepancy also arises when women first start jobs. Financially successful women negotiate the best package they can at commencement and make sure they have regular pay reviews.”
Track your finances monthly
“This may sound counterintuitive, but strict budgets without any flexibility often don’t succeed. If you break the budget one month, it’s not the end of the world as your budget is just a guide, but the closer you stick to it the better off financially you will be. Just try to catch up in future months if you get behind. Also, ensure your budget includes a provision for some aspirational items such as holidays or luxury goods,” says Rasheed.
Take control of your super
“Often women have several superannuation accounts and the flat fees and default insurances erode super balances—companies like Rate Detective offer a free service to find lost super,” explains Rasheed. “Most Australians have a default super fund but this option can leave up to half your money invested in low-growth, fixed-interest options for years. For younger women in their 20s and 30s, in many circumstances a better strategy may be to fully invest in growth assets as this can result in a significantly higher balance in the long term, even if you change your investment profile to a more conservative one as you approach retirement. To make this change, just call your super fund and say you want to switch to high growth.”