Empowering Women Through Financial Literacy and Personal Wellness in Singapore

Inspiring inclusion of women with this year’s International Women’s Day

• Women's mental and physical health is closely linked to their financial well-being.
• Empowering women through financial literacy and self-care allows them to take control of their financial habits and overall well-being.
• The gender pay gap in Singapore is one of the issues that women face in their financial journey.

In today's rapidly changing world, women in Singapore are taking charge of their financial future and overall well-being. With advancements in gender equality and women's empowerment, women have made significant strides in various aspects of their lives. In recent years, women in Singapore have made significant progress in various fields, including education, career, and leadership positions. Empowering women through financial literacy and wellness, and providing practical tips and insights to help women achieve financial freedom and security is crucial to helping them navigate these challenges and achieve their goals.

The Importance of Financial Literacy for Women

Financial literacy is the foundation for making informed decisions about money matters. It involves understanding concepts such as budgeting, saving, investing, and managing debt. For women, financial literacy is particularly important as they face unique challenges and opportunities in their financial journey.

Research shows that women tend to have lower levels of financial literacy compared to men. This knowledge gap can have significant implications for women's financial well-being. By improving financial literacy, such as keeping updated on current market conditions, understanding inflation and the power of compounding and having both short and long term financial goals and objectives. Building one’s basic financial knowledge helps boost confidence when making financial decisions.

Understanding the Gender Pay Gap in Singapore

One of the key issues that women face in their financial journey is the gender pay gap. Despite progress in gender equality, women in Singapore still earn less than their male counterparts for similar work. This pay disparity can have long-term consequences on women's financial security, retirement planning, and overall wealth accumulation.

To overcome the challenges posed by the gender pay gap, it is essential for women to advocate for equal pay and negotiate their salaries, only 46% of women are comfortable asking for a pay increase according to a survey by Workforce Singapore’s (WSG) Telegram channel. Additionally, women can focus on building skills and acquiring knowledge that can lead to higher-paying job opportunities.

Overcoming the Challenges of Caregiving Norms

Women in Singapore often shoulder a disproportionate share of caregiving and household responsibilities. This unequal division of labour can impact women's ability to pursue career opportunities, save for the future, and achieve financial independence. 

It is important to challenge traditional caregiving norms and promote shared responsibilities within households in order to tackle these obstacles. This can be achieved through open communication, setting clear expectations, and seeking support from family members and community resources.

Building a Strong Financial Foundation

Compared to previous generations, women these days lead more diverse lives and experience greater financial autonomy through increased earning, saving, and investing. According to a 2017 UOB-Prudential survey, 37% of women in Singapore prioritise the needs of their loved ones over their own, with this figure rising to 52% among married women. This shows that women may not be prioritising their personal financial well-being, often placing the welfare of others above their own.

Building a strong financial foundation is crucial for women to achieve their financial goals. This involves setting clear financial objectives, creating a budget, and establishing an emergency fund. By having a solid financial base, women can better navigate unexpected expenses and financial setbacks.

Budgeting and Saving Strategies

Budgeting and saving are essential components of financial well-being. Women can take control of their finances by creating a budget that aligns with their financial goals and priorities. This includes tracking expenses, identifying areas for potential savings, and setting realistic spending limits. 

To maximise savings, explore strategies such as automating savings, setting up separate accounts for specific goals, and cutting unnecessary expenses. By adopting these strategies, women can build a financial cushion and be better prepared for future financial challenges!

Investing for the Future

Investing is a powerful tool for wealth accumulation and long-term financial growth. However, women have historically been less involved in investing compared to men. To bridge this gap, women can educate themselves about different investment options, risks, and strategies. 

It is important for women to start investing early and taking measured and appropriate risks to get the appropriate reward, and letting those gains compound. By diversifying their investment portfolio and seeking professional advice when needed, women can build wealth and achieve their financial goals.

Balancing Work and Personal Life

Women's financial well-being is closely linked to their mental and physical health. Taking care of one's well-being is crucial for maintaining productivity, focus, and overall happiness. Women can prioritise mental and physical health by practising self-care activities, seeking professional help when needed, and engaging in regular exercise and healthy eating habits. By prioritising their well-being, women can enhance their overall quality of life and be better equipped to handle financial challenges.

Achieving work-life balance is essential for women's overall well-being and financial success. This can be challenging, but it is crucial for maintaining physical and mental health.

Women can prioritise self-care, set boundaries, and seek support from their networks to create a healthy work-life balance. This may involve delegating tasks, practising time management techniques, and engaging in activities that promote relaxation and stress reduction.

Resources for Women in Singapore

In Singapore, several resources and organisations are dedicated to empowering women and promoting financial literacy. These include government initiatives, non-profit organisations, and financial institutions that offer educational programs, workshops, and resources tailored to women's needs.

Some notable resources for women in Singapore include the Association of Women for Action and Research (AWARE) and Women's Care Centre and various financial literacy programs offered by banks and financial institutions such as Citi-Tsao Foundation Financial Education Programme for Mature Women and J.P. Morgan’s digital resource of roundtable discussion about financial literacy.

Conclusion

Empowering women through financial literacy and wellness is essential for their overall well-being and financial success. By equipping women with the necessary knowledge, resources, and support, they can overcome the challenges that they face and achieve their financial goals.

Through a combination of financial education, practical strategies, and a focus on holistic well-being, women can take control of their financial future and create a life of financial security and independence. By empowering women, society will be more inclusive and equitable.