top of page


girl surrounded in flowers
Photo: Isabela Drasovean/Unsplash

Why do so many young women grow up unaware of what it means to be financially independent? I often worry about the influence of social media and other biases. According to one university study, by the age of six many girls already consider boys better suited to “really, really smart” activities! It's so important young women learn how to have a secure financial future. Here are my top five money lessons.

1. You can’t live in your shoes. In the world of online everything, shopping, fast fashion and sale after sale, spending a dollar couldn’t be easier. Before you know it, you have a new skirt, new shoes, new handbag in the mail and on its way. Your money spent, just like that, never to be spent again and for how much gratification? Remind yourself of the time and effort it took to earn that dollar and question if it’s better-off saved for something more meaningful in the future, like a deposit for a house or a trip overseas.

2. The magic (and horror) of compound interest. There are two types of compound interest. The first is the magical type that comes from investing your money, where you earn interest on your interest.

The second, slightly more horrifying type comes with using credit cards, where you pay interest on interest if you can’t pay the balance off each month. Some cards charge a whopping 20% p.a. interest or more. Compounding credit card debt can follow you around for years. Avoid using credit cards for as long as possible.

clothes on a bed
Photo: Angela Bailey/Unsplash

3. Negotiating is fun. Use your learned negotiation skills to ask for a pay rise. You’ve negotiated most of your life with mum and dad right? So, do the same in the workplace. On average women earn $25,000 a year less than men. That’s a huge difference over your working life. Workplace diversity and gender is finally high on the agenda in many organisations, so even more of a reason to back yourself, your skills and your value.The worst they will say is no… and then you can leave and get a better paying job elsewhere.

4. Sort out your super. Super matters… a lot! Over your working lifetime paying high fees for your super can cost you significantly. Stockspot’s Fat Cat Funds research shows super funds that charge 1.5% p.a. or more in fees could cause a woman in her 20s or 30s to lose about $250,000 in fees by the time she retires. That’s a lot of money. You may not always be able to control how much you earn, but you can control what you pay in fees by switching super funds. If you change jobs, make sure you consolidate your super, so you don’t pay two lots of fees. This is super important!

5. Make your money work for you. Your money won’t do much sitting in a savings account earning next to nothing in interest. Investing can help your money grow over the years meaning there’s more for future you. Consider this. Would you prefer to earn 3-4% p.a. from a savings account or 7-8% p.a. from investing? I know which one I’d prefer. Investing is so much easier these days with online investment companies like Stockspot. Or if you have a passion, you think you can earn money from, start it as a side hustle and see where it takes you.

Finally, in a world where we constantly live up to standards, compare ourselves to others (where they’re at, what they have and what we don’t…) STOP IT! It can be never ending and cost a lot mentally and financially. Most of what you need you already have.

Sarah King is head of client care and advice at Stockspot, Australia’s first and largest online investment adviser and fund manager. Stockspot manages more than AUD 600 million and has more than 13,000 clients.



Gift Card Store.png

Top Stories

bottom of page