Research has shown that we understand the concept of money by age three and develop money habits by age seven. Meaning our early experiences with money have an impact throughout the rest of our lives. Therefore, financial well-being is an area that we’ve wanted to encourage growth in for a while.
Financial well-being means being able to support the life we desire, which includes paying bills, saving for long-term goals, and preparing for the future. This can often seem like a daunting and stressful task. Even though research supports that females outperform men in investing, there is still a considerable gap between the financial know-how of men and women. This underlines the importance of equalizing basic financial education in school and in the workplace.
There is a huge wealth gap between men and women that is caused by things such as: the substantial pay gap between men and women, the lack of discussions on financial topics within female communities and the fact that women usually tend to spend more time out of the workforce caring for family. Our financial habits are impacted by these factors, which makes it all the more important for us to take control of our finances early on.
Women outperform men by 40 basis points, or 0.4%, on average, according to Fidelity’s 2021 Women and Investing Study. This positive margin can translate into tens of thousands of dollars over time.
Within the pillar of financial well-being, we want to remind women that financial empowerment is not a measure of net worth. It just means having the confidence — and skill set — to control your money versus letting your money control you. We believe that through reading we can bridge that knowledge gap and start building financial freedom for ourselves that will allow us to create the life we can’t wait to wake up to, navigate through the challenges of being young adults in big cities who also enjoy life and experience things (iykyk). So strap in, because women who get it are becoming financially literate in 2023!
