Who is Better at Managing Money: Men or Women?
Although women openly admit that they spend more money than men, the results of an international survey revealed that women are better at managing money than men. Let’s take a closer look at some facts that might debunk some false stereotypes, especially the ones regarding personal money management.
Frittering away money on needless purchases in a form of an extra pair of Louboutin shoes or a handbag from the latest Moschino collection has turned out to be a myth unjustly imposed on women. What keeps being disregarded is that men like gadgets, gizmos and electronics and accordingly they like to spend money on them. Large amounts of money, to be more precise. Heard of minidrons? Seen the latest Sony short throw 4K projector, the one that will make a true home cinema out of your living room? Not to mention gnar boards that are becoming increasingly popular among the male population. And these high-tech gadgets cost. An arm and a leg.
Unlike most women who keep track of their spending, make regular mortgage or house payments, men tend to build up debts through loans and credit cards or even forget to pay bills. Women, on the other hand, have not only proved to be good at managing debts but also at investing. Being open for assistance, ready to accept help or advice, women are nowadays recognized as better investors than man. Additionally, the results of a recent survey also show that women, generally, lack aggressiveness and impulsiveness when it comes to investing, some of the characteristics typical of men. They, on the contrary, tend to be risk-averse investors, playing it safe being their advantage in most cases.
However, when it comes to saving, it must be said that men are bigger savers than women. The fact that they earn less than their male counterparts impedes them, to an extent, from making bigger savings. Namely, as statistics say that women live longer than men, they tend to put bigger percentages of their paychecks into their retirement savings plans. Good financial literacy and adequate plans for the future cannot help them win the savings game, in general. Unfortunately, the gender wealth gap has taken its toll.
Although it is true that men and women can act differently when personal money management is in question, statistics should be taken with pinch of salt. The factors which may seem even more important are psychological traits that come with each individual and his/her approaches towards finance.
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