Financial independence is important for every one – and in case you decided to forgo the pay cheque to raise your children, take care of your family or even due to an illness or any other reason – that is no reason for you to not plan to be financially independent. Here are some tips to help you plan your finances:
Open a bank account – In case you had been working previously, you must be having a bank account and hopefully, some decent savings as well. If you don’t, for any reason, the first thing you must do (after reading this blog, of course) is to walk to your nearest bank and open a savings bank account. It will help to compare interest rates online, as many banks provide higher interest rates than others, especially to women.
Be a part of your household financial planning – It is not necessary to earn to save. Even if you are a stay at home spouse, you must know what your other half is earning, the investments and household expenditure. It makes sense to have joint investments (it will help in better tax planning as well for the earning spouse) and combined financial goals that you both can work towards. Discuss your ideas, goals, income and expenditure honestly and prepare a household budget to maximise the savings and investments.
Don’t ditch your hobbies – You may not want to go out and work but do you have a passion that can help you earn more? From dance classes in the neighbourhood to teaching music or art to children or even writing or baking can help you earn quite a decent amount of money by simply pursuing what you love.
Get insurance – It is important for every individual, working or not, to take a basic term insurance plan. While it may not sound pleasing, it is best to plan for the unforeseen. Talk to your partner and ensure that the family is adequately covered in case things go awry in the future. It is wise you take health insurance (with accidental cover) as well to cover any loss of income from illness or injury.
Get in touch with a financial advisor – Getting in touch with a financial advisor can help you plan out your investments, whether you are working or not. For the stay at home spouse, it is even more important to meet a financial planner to wisely invest and grow their savings for better financial independence in the future.
Dr. Celso, author of “Who says money doesn’t grow on trees?” is a seasoned financial advisor helping couples and individuals plan their wealth creation strategies better. Get in touch now to propel yourself on the road to riches.
Nave Marg 