Culture

Are Women Better Savers than Men?

4102 views

W ith today being International Women’s Day, we decided to take a look at gender differences when it comes to money savings and investing. Women have different approaches to investing than men. And if studies are to be believed, women are better at saving, investing and preparing for the future than men!

Women are usually stereotyped not being as prudent as men at managing money and always indulging in shopping! Society has also typecast women as less-earners and hence more likely to be careless when saving or investing.

However, time and people's perceptions are changing. Here are 5 ways we’ve seen women more likely to be saving more and investing smartly than men.

1. The have less credit card debt

Since men are more into big buys, they are more likely to use credit cards often in contrast to women who use debit cards more than credit cards for their purchases. We are not asking you to stop using credit cards, because if you can pay the full balance amount timely, it’s good. The high interest rates make credit card debt look like a perfect example of 'bad debt'...

2. They are more financially independent from their parents

Whether single or married, most women stop asking their parents for money after they reach a certain age or start working. It’s another thing that they take care of their parents more than the sons. Men are ok about ‘borrowing’ money from their parents while women are not!

3. They are more likely to save for retirement

More women than men participate actively at workplaces in savings plan at all income levels, though this doesn’t necessarily mean that they end up saving more for retirement. This may be credited to the fact that men tend to have longer tenure in their workplaces.

4. They are more likely to leave their retirement savings alone

Staying away from your retirement savings is always a good thing to do. Studies show that men are more like to dip into retirement funds during the need, while a less number of women would do the same.

5. They are more measured in their investing

Why? Because, according to studies, men are more likely to make more risks when making investments – at least twice as often as women. The most successful investors are those who leave their money alone.

Regardless of your stance on gender roles on saving money, it is always important to spend, save and invest your money wisely.

Photo courtesy: Images Bazaar

Leave a Comment