No. 4 is so important.
1. Letting your partner or husband manage all the money
You’re old school and you don’t mind depending on your partner when it comes to finances… Snap out of it because it isn’t the 60’s. While it’s all rainbows and sunshine right now doesn’t mean it’s always going to be that way. You don’t want to introduce yourself to your financial situation after a tragedy strikes or while you’re in emotional shock. Take control of your finances or at least be involved when your partner makes financial decisions.
2. Trusting Blindly
While love is all about trust and respect, trusting your partner blindly is nothing but foolishness. Read all the financial documents, especially joint income tax returns because if there’s a mistake in there, guess who’s on the hook? YOU. So next time when your partner says “Don’t worry, just sign it, darling,” don’t proceed without reading it.
3. Not Hiring a Separate Financial Advisor
We can’t stand several people in our lives, but your financial advisor shouldn’t be one of those. While it’s okay to have the same financial advisor, we suggest you hire your own if he/she doesn’t include you in financial decision-making as much as they include your partner. This is one of those situations where trusting your gut feeling is crucial.
4. Ignoring the Financial Jargon
Don’t be ignorant, or shy, or polite and skip asking questions when you don’t understand the financial jargon. It’s there for a reason and it’s your money so keep asking until you understand your finances. It’s your right to know what happens with your money and if your financial advisor doesn’t cooperate, then it’s probably the best to hire someone who does.
5. Not considering your greater longevity in the investing plans
If you are married, it is likely that you will live five-plus years than your partner. Ensure that your financial plans take this into account because it means different things if you are going to live without him.
6. Shying Away From Smart Investing Risks
While most women are more risk-aware when it comes to investing, being too afraid of taking smart risks isn’t very wise. Trust your financial agent and don’t be afraid to make a big leap when the opportunity arises.
You can find excuses and delay investing all you want and regret later on in life for not doing the right thing at the right time. You can’t wait until a “less risky time” to invest in the market because let’s be real, timing the market is next to impossible, even for individuals who do it for a living. Instead of going all in with a particular investment plan, go small (but significant) and steady with a few investment plans. This way, even if you “go low” with an investment plan, you’ll probably “go high” with another; it might even out.
Related Article: Stop following these four money rules ASAP.