Take control of your finances

This article is for information only.

According to the Singapore Department of Statistics (DOS), the life expectancy for Singapore is 83.9 years—86.1 for women and 81.5 for men. Women live longer, which means they are likely to have a longer retirement period which calls for a larger retirement fund.

This makes financial planning crucial to keep you in a positive state of financial health even in your 80s. It’s important to pay attention to not just financial planning for your family, but also your individual financial planning.

Even if you are engaged in joint planning with your spouse, it’s women who typically manage everyday expenses for the household, particularly when children are involved. It is important that women stay well informed of all the investments, money flow and financial liabilities.

Women play multiple roles at home – a wife, a mother, a daughter. They often put others before self but there is a need to look out for yourself. Your life partner is not a financial plan. Whether they stick around or not, a life partner does not ensure you have the financial means to care for yourself, your family, or the ability to meet your personal life goals. Your children are also not your financial plan. Your children will have financial commitments to fulfill and may not have the ability to fund for your needs.

Don’t fear taking the first step

Taking the first step isn’t as daunting as it sounds. Financial planning is not about putting all your cash into investments. It starts with understanding your  current financial standing and your short-term and long-term goals.

Tracking your monthly expenditure is one of the first steps you can take. Once you know your inflow and outflow of funds, you will be able to adjust to your spending habits to increase your savings.  Be as specific as possible when tracking your spending and set a budget. An easy way to do this is to break your money into buckets such as groceries, transport, dining out etc.

Build up your box of financial planning tools

Using a tool like like Standard Chartered (SC) Money Manager which tracks expenditure in your SC  account(s) is a great way to get you started.

SC Money Manager helps you better manage your expenses by setting up a monthly budget with in-app alerts to keep track of your spending. By breaking down your expenses by categories, you’ll gain greater awareness of where you can moderate your expenses. All these information and more is then presented in a visual dashboard that makes it easy to understand.

Complimenting this with other tools to help you with holistic financial planning such SC Goals Planner will help you strengthen your financial fort and your family’s.

SC Goals Planner is a holistic financial planning tool that takes your entire family’s goals into account. It allows you to plan individual or joint savings, expenditure and properties that are yours and/or your partner’s.

You can also simulate potential disruptions such as unemployment, critical illness, death and more. The tool offers a consolidated view of your net worth, cash flow and savings, predicts when your money will deplete while taking into action your assets and investments. It helps you assess your financial situation and plan as you journey through each stage of life to bring you closer to achieving your financial goals.

Protect and grow your money

Any good holistic financial plan should include a protection and investment element. The former is an essential pillar. Insurance needs vary from person to person, depending on your objective, age and stage of life. It is important to be prepared for the unexpected by having adequate insurance coverage especially for hospitalization and critical illnesses, including any female-related diseases. Compare the various protection insurance options in the market to find one that has a good balance between protection and price.

While having a habit of saving is great, it isn’t everything. Make your money work harder for you by investing your hard-earned money. When it comes to investments, it is crucial to understand your personal risk appetite as this will dictate the journey you take. Always do proper due diligence and research before you make an investment decision. It is important to understand what you are investing in or buying. For example  – knowing potential returns and losses, investment horizon, whether your money is locked in for a fixed period along with the fees and charges associated. All investments contain an element of risk, so do match your investments with your risk appetite.

For those who cannot afford a large lump sum, you can consider a regular investment plan that allows you to start investing with as little as $100 a month. Such plans allow you to accumulate investments over time, and it requires little effort on your part.

If you already have a lump sum of money, you can invest in a diversified portfolio of funds, equities or endowment plans. Always stay diversified as it helps to spread your investment risk.

While it’s good to begin your financial planning early, it’s never too late  to start, no matter your age. In addition to the above tools, you can also speak to our financial advisors, who can work with you to create a financial plan that’s uniquely yours.