“Women need to develop a healthy, honest relationship with our money,” says financial guru Suze Orman. “And we have to see this relationship as a reflection of our relationship with ourselves.”

In other words, our financial lives (mortgage payments, credit card debt, emergency savings fund, monthly budget, etc) are part of who we are as women. The serious debt or extreme wealth in our finances directly affects our emotional, physical, and spiritual lives. For more info on women and money, click The 9 Steps to Financial Freedom: Practical and Spiritual Steps So You Can Stop Worrying. And, read on for several sings of a financially independent woman (inspired by Suze Orman!)…

5 Signs of a Financially Independent Woman – Suze Orman

1. Financially independent women are aware of their “money personalities.” Did your parents invest in real estate, a secure low-interest savings account, mutual funds – or did they struggle with debt? Your saving and spending habits, investment style, attitude about money, and financial perspective is shaped in part by the way your parents treated money in your childhood. Your money personality directly affects your relationship with money – and the more self-aware you are, the more financial independence you’ll enjoy.

2. Financially independent women take financial risks. A financial risk doesn’t necessarily mean investing $10,000 in a friend’s new business or charging a $2,500 dollar dress to a maxed-out credit card. Taking healthy financial risks includes investing in your career by going back to school full or part-time, taking a mortgage on a small piece of real estate, or exploring ways to earn money from your hobby.

3. Financially independent women have their own checking, savings, or credit card accounts. So many readers make comments on my “Quips and Tips for Achieving Your Goals” blog about how they want to leave their common-law or married husbands, but can’t because they have no money to support themselves. Having a separate checking or savings account is the most basic sign of a financially independent woman…and yet many women don’t have their own source of money.

4. Financially independent women have both individual and couple money goals. Our goal as a married couple is to pay off the mortgage within a few months; my goal as a businesswoman is to earn $2,500 per month from my blogs. My husband has his own financial goals, mostly related to investing money in stocks and bonds. For a woman to have true financial independence, she needs to have goals that are separate from her partner’s. If you and your partner see money differently, you might find Dealing With Different Money Personalities as a Couple helpful!

5. Financially independent women understand basic personal finance. This is where books about money for women are so important! I can’t describe retirement investing, compound and simple interest rates, living trusts, home insurance, income tax strategies, etc here – but a basic understanding of money is crucial for women. The more you know about basic personal finance, the more independent you’ll be.

One of my favorite books about money for women is Lois Frankel’s Nice Girls Don’t Get Rich: 75 Avoidable Mistakes Women Make with Money (I like it better than Suze Orman’s Women and Money).

Orman has the final word about money, though:

“Remember to stay involved with your money, to nurture a healthy relationship with it, for what happens to your money affects the quality of your life and the lives of all those you love.”

Are you financially independent? If not, have no fear…read Steps to Financial Independence for Women!

Related posts:

1. Financial Independence for Women – Quips and Tips
2. Is This a Risky Financial Investment? Money Tips for Women
3. 9 Tips for Taking Control of Your Money for Women

Here’s what Scott and Bethany Palmer say about making financial investments:

“What now? It’s a question we are hearing from more and more couples as the recession takes its toll. Those who’ve lost jobs wonder what they’ll do next. Those who’ve taken a major financial hit are trying to rebuild. Those who’ve weathered the changes so far are worrying if they’re going to be the next casualties.”

The Palmers are “The Money Couple” who wrote First Comes Love, Then Comes Money: A Couple’s Guide to Financial Communication – click for information. And, read on for their money tips for women and couples…

Is This a Risky Financial Investment?

In the midst of economic changes, many women are seeing financial opportunities and learning money lessons. Maybe a lost job means it’s a good time to go back to school. Maybe the foreclosure offers a chance to move to a new home and make a fresh start. Maybe the availability of stimulus loans makes it a good time to start a business you’ve always dreamed of.

This might be the right time to take a financial risk or make an investment with your time. But first you (and your partner) need to think about these money tips…

What is your current level of financial debt? A mortgage or car payment is one thing, but if your credit card debt exceeds more than 10% of your annual income, you should hold off on making risky financial investments. Instead, spend the next six months reducing your debt. Then, re-assess your plans.

Weigh the pros and cons of this financial investment. Have a realistic conversation about how this new opportunity will change your daily lives-financially, socially, and emotionally. How will it affect your schedules? Will you need more childcare? Will you have to pull back on other financial commitments? How will this change your spending habits? Do you need to tap into other investments to fund this risk? What other financial sacrifices will you have to make? Only you can determine if these changes are worth it.

If you’re half of a couple, make sure you’re both on board. If one of you wants to start a business and the other thinks you can’t afford it – or you have different money personalities – get creative about ways to meet both your needs. Can you build your savings over the next six months so the financial investment is less risky? Can you bring in a partner to ease the financial stress? Can you break the idea into smaller, more manageable chunks? “Risk Takers” in particular need to make sure they have their partner’s blessing before moving ahead with a new financial venture. Without your partner’s blessing, you’re going to bring anger, frustration, and deep resentment into your relationship. And no financial investment or risk is worth that.

Take your time before investing money. A good financial investment will still be good two months from now. Before you make a major financial commitment to a new venture, take a deep breath…and wait. Keep dreaming, keep talking, keep saving, but don’t make a move until you’ve let your plans simmer a while. Whether you’re talking about one partner going back to school, living on one income, starting a new business, or changing jobs, work together to make this financial investment one that benefits the whole family.

Related posts:

1. Financial Independence for Women – Quips and Tips
2. 9 Tips for Taking Control of Your Money for Women
3. Signs of a Financially Independent Woman – Quips and Tips

Here’s financial and life inspiration from Suze Orman:

“In all realms of life it takes courage to stretch your limits, express your power, and fulfill your potential. It’s no different in the financial realm.”

You need courage to be an entrepreneur – and you need to believe in yourself! For more info on starting your own business, click Small Business Start-Up Kit. And read on for several ways to transition into self-employment as a business woman…

How to Get Money to Start Your Business – Suze Orman

Be open to creative business and financial possibilities! In How Hobbies Become Money Making Careers, I describe ten hobbyists who turned their joys (and opportunities) into their businesses. They became female entrepreneurs almost by accident, because they were open-minded – and they love it. Not all of them share how they found the money to start their businesses, but if you want me to contact them, just let me know in the comments section below. I’d be happy to write an article called “Money Tips From Female Entrepreneurs.”

Work part-time, be self-employed part-time. When I first started freelance writing, I worked part-time in an office. I soon realized that the more time and energy I put into writing, the more it paid off – so I decided to take the leap into full-time self-employment as a home-based writer. This is a great way to earn money to start your own business – working part-time – because it’s practically risk-free.

Invest your savings in your business. If you have a couple thousand (or a few thousand!) dollars saved up, then investing your own money in your business makes sense. If you’re a saver, it doesn’t take long to build (or rebuild) capital. If you’re a spender, read Money Tips for Women in Their 20s, 30s, and 40s. If you own your home, you could consider remortgaging it…or selling it altogether.

Apply for a small business loan. Before you apply for a loan, make sure you have a business profile, business plan, personal and business financial statements, and proof of collateral. If you’re applying for a loan to start your own business, you’ll also need to know your credit rating. Plus, you should have some of your own equity invested in your business (eg, money, property, equipment, etc.). To learn about banking relationships, read Tips for Small Business Banking.

Ask your friends or family to invest in your business. You can alleviate the awkwardness of asking friends or family by following certain standards for lending money to friends or family members. If you’re asking friends or family members for capital for your startup, then you need to be as professional, businesslike, and organized as you would if you were applying for a small business loan. And, make sure everything is in writing.

Use your credit card or personal line of credit. To me, this is a risky way to get money to start your business, but…entrepreneurs are known to take risks! Think this through very carefully before you start using your credit card to finance your small business. Most credit cards charge high interest rates, and you have to pay your bill whether your business is successful or not.

Play the stock market? This is another risky way to get money to start your business! If you’re considering investing money to make money, make sure you’re prepared to lose it all. Some investors make good money playing the market – though the economy can make or break your investment. Short-term high-risk investments aren’t necessarily the best way to finance your venture into female entrepreneurship…but it is something to think about.

No matter which combination of methods you use to become self-employed, take this financial advice from Suze Orman:

“It’s better to do nothing with your money than something you don’t understand.”

Don’t invest your money into anything you find confusing, unsettling, or risky. Make sure you research all your options thoroughly — whether you’re getting a bank loan or using your own savings to start your business. You might also consider investing in a business financial advisor.

For more info on successful self-employed business women, read The Key to Success for Female Entrepreneurs – Coco Chanel. And if you have any questions or thoughts on getting money to start your own business, please comment below…

Related posts:

1. How to Start a New Career – Suze Orman
2. Dealing With Different Money Personalities as a Couple – Suze Orman
3. 8 Smart Ways Women Can Save Money – Suze Orman

“Age is more than just a number when it comes to financial planning,” says Lisa Caputo and Linda Descano – the dynamic duo behind Women & Co. “Starting early can help give you a leg up on a comfortable retirement. This is particularly important for women because we live longer than men, are more likely to require long-term care services, and take more time out of the work force to care for children and family members.  These financial realities make it even more important for us to start saving early, to save more as we earn more, and to plan carefully for those ‘time-out’ periods.”

These money lessons for women in their 50s and 60s are effective for women close to retirement – better late than never! For more financial info about retirement planning, click Women & Money: A Practical Guide to Estate Planning.

Money Lessons for Women in Their 50s and 60s

“Having a financial plan is an important step, but you need to review it regularly to make adjustments as life transitions occur,” say the financial experts at Women & Co. If you’re married or living with someone, you might find Dealing With Different Money Personalities as a Couple helpful.

Money Lessons for Women in Their 50s

Re-balance Your Portfolio. Review your investment portfolio regularly. Make adjustments to accommodate different cash-flow needs and changes in income and living expenses, as well as your changing vision of life after retirement.

Catch Up on Retirement Savings. At age 50, you become eligible to make “catch-up” or extra, contributions to your IRA and 401(k) plan, or similar retirement plan. This year, the 401(k) plan catch-up amount is $5,500 over the basic limit of $16,500, for a total contribution allowed to $22,000.  For an IRA, you can make an extra $1,000 contribution for a maximum of $6,000 for the year.

Review Your Coverage. Regularly review your life and disability insurance coverage, which generally should replace enough of your income so that your family’s current and future needs are met. This includes everyday living expenses, short and long-term debts, education for your children, and retirement for your spouse/partner.

Money Lessons for Women in Their 60s

Look Into Social Security Benefits.  At age 62, you’re eligible to start receiving Social Security. However, your benefits could be reduced by as much as 30% if you opt to get Social Security before your Normal Retirement Age (also known as Full Retirement Age, which ranges from age 65 to 67 depending on year of birth).

Get Back to Budgeting Basics.  Learning to live on a fixed income requires different money management tactics than when you earned a salary with potential for increasing over time.  A timeless money tip for women is to practice good basic budgeting by tracking your money and spending habits.

Update Your Estate Plans.  Review your beneficiary designations on qualified plans, IRAs and life insurance policies. Talk to your financial, legal and tax advisors to make sure your estate plans are up-to-date.

If you’re experiencing a financial disaster, read Turning Failure to Successf for Female Entrepreneurs — it could help you rebound!

If you have any thoughts or questions on these money tips for women, please comment below…

Women & Co. is a financial resource program from Citi, dedicated to helping women achieve their financial goals.

Related posts:

1. 9 Tips for Taking Control of Your Money for Women
2. Is This a Risky Financial Investment? Money Tips for Women
3. Dealing With Different Money Personalities as a Couple – Suze Orman

“Age is more than just a number when it comes to financial planning,” say Lisa Caputo and Linda Descano – the dynamic duo behind Women & Co. “Starting early can help give you a leg up on a comfortable retirement. This is particularly important for women because we live longer than men, are more likely to require long-term care services, and take more time out of the work force to care for children and family members.  These financial realities make it even more important for us to start saving early, to save more as we earn more, and to plan carefully for those ‘time-out’ periods.”

The sooner you take charge of your money, the happier you’ll be. For information and inspiration from Suze Orman, click Women and Money: Owning the Power to Control Your Destiny. And, read on for nine tips for basic personal finance for women…

3 Tips for Taking Control of Money for Women in Their 20s

Set Financial Goals.  The first step to putting together a financial plan is to identify what you want, when you want it, and what it will take to achieve it.  Be sure to write down your goals so you have something to refer back to as you plan.

Live On a Budget.  A budget doesn’t have to be onerous and it’s a key component of a solid financial plan. Start by writing down your monthly income, track and total how much you are spending monthly, and determine your debt-repayment obligations (i.e., credit card, student loans).  After calculating your monthly expenditures, subtract that from your total monthly income.  Allocate the amount you have left over toward savings.  If you’re falling short on savings, think creatively about ways to cut spending. 

Make Saving Money Automatic.  Once you’ve determined your target savings amount, consider setting up an automatic transfer from your primary bank account to a dedicated savings account each month.  Also, do not miss an opportunity to enroll in your employer’s retirement plan, such as a 401(k) plan, and take advantage of matching contributions, if available.  Whether you have access to an employer-sponsored plan or not, consider an IRA.

If you’re raising children, you’ll find Being a Financial Role Model helpful!

3 Tips for Personal Finance for Women in Their 30s

Set Up An Emergency Fund.  Save and set aside enough cash to cover at least a minimum of three, and ideally six, months of living expenses in case of disability, unemployment or an unforeseen event.

Seek Out Financial Professionals.  Identify a team of professionals (i.e., financial advisor, accountant, attorney) that you feel comfortable working with.  Ask friends and family for referrals and interview potential advisors.  Once selected, regularly review your financial plan with your team and be sure to check in during any life transitions such as having a child, or getting married or divorced, as these events may impact your plan. 

Define Your Investment Strategy.  Work with your financial advisor to develop a target asset allocation for your portfolio.  Tell your advisor when you would like to retire and discuss your tolerance for risk so that s/he can help you allocate your portfolio accordingly.

If you’re married or living with a partner, you might find Dealing With Different Money Personalities as a Couple helpful.

3 Money Tips for Women in Their 40s

Cover Yourself With Insurance.  Personal insurance includes health, life, disability or long-term and property insurance typically includes auto and homeowner’s.  Learn about your insurance options and determine the type and amount of coverage that makes sense for you and your family.

Protect Your Legacy. Even if you if don’t have children or consider your assets significant enough, still think about executing a will, living will, power of attorney and health care proxy to outline your wishes in the event that you are unable to make decisions for yourself. 

Maximize Retirement Contributions.  With your earnings at its peak, now is the time to boost your savings.  Contribute the maximum amount to your retirement plan. If you have children and haven’t done so already, start a savings fund for their college education.  If you’ve already started a college fund, now is the time to maximize your contributions to it.

If you have any thoughts or questions on these tips for basic personal finance for women, please comment below…

Women & Co. is a financial resource program from Citi, dedicated to helping women achieve their financial goals.

Related posts:

1. Is This a Risky Financial Investment? Money Tips for Women
2. 10 Tips for Teaching Kids About Money – Women and Co
3. Money Lessons for Women in Their 50s and 60s

First, the bad news:

“Opposites may attract, but I wouldn’t put my money on a relationship of financial opposites,” says Suze Orman.

But don’t fret, my friend! Just because Orman wouldn’t bet her money on a couple with two different money personalities doesn’t mean that couple is headed for relationship breakdown or serious financial problems. (phew, what a sentence that was!)

Here are several ways to deal with different money personalities as a couple. For more info, read Financially Ever After: The Couples’ Guide to Managing Money by Jeff Opdyke.

Dealing With Different Money Personalities as a Couple – Suze Orman

The two basic money personalities are savers and spenders. If you’re a saver married to a spender – or a spender married to a saver – you’ll run into different relationship challenges than two spenders, or two savers.

Know your FICO score. “If you forced me to pick one single bit of advice that would have the biggest impact on turning around your financial situation, I wouldn’t hesitate for a second,” writes Orman in The Money Book for the Young, Fabulous, & Broke. “You have to know your FICO score.” Before you tackle your “saver versus spender” money personalities, learn about your credit score. Do you need to do some damage repair?

Separate your finances. Consider having two separate income streams and bank accounts. This way, if you’re a saver you can invest your money any way you want. If your partner is a spender, he can spend his earnings any way he wants. You can divide the household bills and other sources of debt, and pay for those equally but separately.

Learn how to talk about money objectively. Whether you’re deciding how to invest a $10,000 windfall or struggling to pay off medical debt – you need to talk about your financial problems or perks rationally. This means accepting your different money personalities without blame, resentment, or bitterness. For help, read Tips for Talking About Money for Couples.

Talk about your money personalities before marriage. “After you marry, every asset either of you acquires is jointly held,” says Suze Orman. “That’s why you both need to be in sync on your long-term financial goals, from paying off the mortgage to putting away for retirement. Ideally, you should talk about all this before you wed. If you don’t, you can end up deeply frustrated and financially spent.”  For help, read Figuring Out Your Finances for Engaged Couples.

Consult a financial planner. Dealing with different money personalities as a couple can get difficult – and those difficulties can affect other parts of your relationship. To solve your financial problems, consider talking to a financial planner who can help you see the big picture. He/she can help you set your general financial goals (eg, retirement planning), as well as determine the details that will help you achieve those goals (eg, a monthly budget).

“In all realms of life it takes courage to stretch your limits, express your power, and fulfill your potential,” says Suze Orman. “It’s no different in the financial realm.”

Are you a saver — and is your partner a spender? How do you deal with it?  If you have any comments or questions on these tips for dealing with different money personalities as a couple, you are welcome below….

For more inspiration from Suze Orman, read How to Successfully Change Careers! 

Related posts:

1. How to Get Money to Start Your Business – Suze Orman
2. 8 Smart Ways Women Can Save Money – Suze Orman
3. Is This a Risky Financial Investment? Money Tips for Women