The 7 money lessons every young woman needs to know for an empowered future

Money lessons can be the most difficult of life’s obstacles, but as painful as they can be, they can also be the most useful and instructive.

It’s also of many areas in life where women fall behind. Yes, there is a gender financial literacy gap, wherein more men have a certain level of financial knowledge than women. This can’t help with the gender pay gap, also skewed in favour of men.

For financial services entrepreneur, money coach and Money Savvy Parents podcaster Laura Weston, to fight this we must begin by finding the opportunities that money can gift (and sometimes restrict) us from experiencing and taking lessons from that.

“Money can set us free, or it can handcuff us to a life of worry and stress,” she says. There are ways for it to empower us.

Here are Laura’s top seven money lessons for an empowered future.

1. Get the salary you deserve

“Even though we are in the 21st century, there is still a massive pay gap between men and women,” Laura says. ”Understanding this and asking for what you are worth, takes great courage and practice.

“Practice, practice, practice and then ensure you don’t end up disadvantaged just because you are female. When negotiating on salary, ensure you get close to the numbers…. what is your desired outcome? What is the minimum you would settle for? Then always start at least 10% higher than your desired outcome. Don’t be scared to ask your potential employer the same questions.

“I believe in being open and honest, instead of the cloak and dagger approach. Think outside the box – are there other benefits that you would value more than the salary? Lastly, look at the industry standards, talk to other employees and if you aren’t happy with the offer then walk away, believe something better will come along! Life is too short to be underpaid, you will end up resenting the job!”

2. Maintain financial independence

“Working towards your financial independence will ensure that you always have a choice and options,” Laura explains. “This can sometimes be an uncomfortable conversation when entering into relationships, but completely essential to protect yourself from every possible outcome. This doesn’t mean you can’t have joint assets and bank accounts, just ensure you are never reliant on anyone else!

“Talk to your partner openly about money from the outset,” she suggests. “When you start living together, have regular monthly or quarterly money dates to ensure that you are both fully aware of the financial position. As your family or personal situation changes, ensure that you are both retaining some independence.

“Consider things like whose name the financial products are going in, who’s contributing what amount and where is best to hold money both jointly and individually. Don’t be scared to request for financial agreements to be put in place before entering into anything new.”

3. Work out the money in motherhood

“Whether you’re a mother or not, having awareness of the financial implications as your circumstances change is paramount. Very often when we become mothers, we change our working patterns, our priorities change and some even ‘give up’ their careers,” Laura says.