Housewives are the backbone of the family. They take care of their husband and kids. They manage the household budget. They are the single point of contact for the entire family.In India, women are not encouraged to discuss financial matters. Your husband earns the money and manages the finances. He gives you money to manage the family budget.
The consequences of not having any idea on money matters are terrible for a housewife. If something untoward happens to her husband, there are no earnings. (The husband is the prime breadwinner). If she doesn't know how to manage money, there are chances of unscrupulous people cheating her, even if her husband has left some money behind.
If you are a housewife, these 5 financial tips are really important to secure your future. Want to know more on investment planning? We at IndianMoney.com will make it easy for you. Just give us a missed call on 022 6181 6111 to explore our unique Free Advisory Service. IndianMoney.com is not a seller of any financial products. We only provide FREE financial advice / education to ensure that you are not mis-guided while buying any kind of financial products.
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Emergencies come without any warning. You need to be prepared for them. As a housewife, you must be knowing all about emergencies. Managing the kitchen is quite a task...A little carelessness....can prove very costly.
1. Keep money aside for emergencies
Saving money for emergencies comes naturally to housewives. As a housewife your motto should be, Save...Save...Save...If you don't have a savings bank account, open a PMJDY (Pradhan Mantri Jan Dhan Yojana Account). PMJDY is a zero balance savings bank account and you earn interest on the money deposited in this account.
You get free life insurance and accident insurance under PMJDY. You also get a RuPay Card to withdraw money from PMJDY.
A Housewife must always save money for emergencies.
2. Housewives need insurance plans
It is popularly believed that you must never step outside your house, without a term life insurance plan. Term life insurance is a pure risk protection plan.If the insured (life assured) dies within the term of the plan, nominees get the death benefit (sum assured). Term life insurance plans have no survival benefits.
But, Insurers are reluctant to offer term life insurance plans to housewives. Term life insurance plans are meant to replace income, if the breadwinner dies at a young age. Housewives don't earn. So why insure them? But housewives, don't forget to force your husband to avail term life insurance. On an untimely demise, you get the death benefit (money), which can be used to give your kids a good education and for their marriage expenses.
Make sure your husband has availed a family floater health insurance plan, which covers the entire family (You + Spouse + Kids). Family Floater Health Insurance covers the hospitalization expenses of the entire family, up to the sum assured.
SEE ALSO: Mutual Fund for Housewives
What will you do with the money your husband gives you? Keeping a lot of money idle in a savings bank account is never a good idea. You earn interest of just 3.5-4% a year. Your returns are eaten up by inflation, which is quite high nowadays.
Why not invest in FDs or recurring deposits? Your money is safe and you earn interest. If you are young and willing to take risk in investment, consider an investment in equity mutual funds. You may get returns way above inflation, if you stay invested for at least 5-7 years.
Remember: "Mutual Fund investments are subject to market risk. Please read the offer document carefully before investing."
If you want to invest in less risky mutual funds, consider an investment in debt funds.You may get 7-8% returns a year from debt funds.
4. Work From Home
What if you are a well-educated housewife? You have a great opportunity to work from home and earn some money. If you are good at writing, you can work as a freelancer. You may have skills like graphic designing, with which you earn good money. You can give tuitions to students and make money.
5. Get yourself a financial education
If you are entirely dependent on your husband for money, it's a good idea to get yourself a good financial education.Learn the art of investing. You might need this financial knowledge to invest and provide good education for your children and money for their marriage in case your husband is not around.
You need to create a financial plan to manage your money in such emergencies. Don't you think financial literacy and a financial education is important for a housewife?
So housewives, follow these 5 financial planning tips to enjoy a bright and secure future. Be Wise, Get Rich.
The research team at IndianMoney.com comprises of certified and experienced professionals who share the company's vision to make every Indian financially literate by equipping every Indian with right and unbiased advice. IndianMoney.com research team provides newsletters, articles, videos and FAQs on various financial products and concepts only to help you make wise financial decisions.
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