As you may or may not have heard, some of you might be coming into some money.
Like, a lot of money.
It’s estimated that $84.4 trillion will be handed down through 2045 – and $30 trillion of that will be given to women.
This is, obviously, good news for several reasons. For example, “a U.S. study by the Women’s Philanthropy Institute found that as women’s income rises, they become more likely to give to charity than their male counterparts.”
But it could also mean big things for women when it comes to their financial confidence. According to Financial Advisor IQ, “receiving a financial windfall increases women's confidence 1.8 times — from 45% reporting that they're confident with money, to 81%. And it means that they become more confident about their ability to manage their money than even men are (at 77%)."
The thing is, being prepared and educated is the key to successfully managing an inheritance. In 2015, MarketWatch reported that “one-third of people who received an inheritance had negative savings within two years of the event.”
Don’t let that be you.
When it comes to money, you deserve to feel confident and secure. Here are a few things that might help you build a solid foundation, whether you’re receiving an inheritance or not.
Education and Knowledge: Invest time in learning about personal finance concepts, such as budgeting, saving, investing, and retirement planning.
Set Clear Financial Goals: Define short-term and long-term financial goals that are specific, measurable, achievable, relevant, and time-bound.
Invest in Yourself: Invest in your skills, education, and career advancement to increase earning potential and financial security.
Challenge Limiting Beliefs: Identify and challenge any limiting beliefs or negative attitudes about money that may be holding you back.
Start Investing: Overcome any fear or hesitation about investing by starting small and gradually increasing your investment knowledge and confidence.
And guess what? A financial advisor can help you with all of these things.
It might be time to start interviewing advisors to find the right fit before you suddenly have money in your bank account that you could blow through without even realizing it. Working on some money skills ahead is always a good idea and can prepare you for what’s coming, whether it’s an inheritance or some other unexpected event.
Bottom line: Don’t wait for an inheritance to boost your money confidence.
