12. My Wife’s Money Problem

Do you know what is better than a 15% ROI on your investment? A financially literate spouse.

Abhinav Mittal

In my previous newsletter, I touched upon “Empowering women by making them financially literate.”

Guilty As Charged

But in reality, I myself am guilty of this. I have been taking all finance-related decisions for myself and my wife. I decide how much to save, where to invest, how to budget. All investment portfolios are in my name.

And to justify, I have been telling myself:

• “She is not interested in finance.”
  Yes, because she is not used to it. Interest comes with knowledge.
  
• “I will always be there to manage for her.”
  Really, always?! Even when death parts us.
  
• “It doesn’t require two people. One person can focus on financials, the other on something else.”
  One person doesn’t exercise to keep both fit. And yes, it’s that important.
  
• Two different portfolios are hard to manage and will yield less profit. 
  Possibly true, but a financially literate spouse will be more efficient in the longer run.

Be the change you wish to see

So finally I and my wife decided to manage our finances separately. 
Managing means Earning money, Tracking money, and Growing money by investing.

We started with an excel sheet, which we both update end of each month. 

1. We divide total monthly expenses and settle with each other.
2. Input all our investments including PPF, mutual funds, stocks, etc.
3. Input all our debts.

The Silver Lining

The first reaction of my wife after doing our monthly expense was –
“What! Are you sure we spend this much in a month!??”

Well, something good came out of this. Lol.

But to be honest, it hasn’t been easy. It takes time for someone to start taking interest in something that they have ignored for ages.
But I have made a point to push her constantly and consistently. It’s the least I can do. And we have seen some benefits:

• Both are mindful of our expenses.
• Both feel more independent and confident about the future.
• She now knows the full spectrum of investment instruments available and their ROI.

It’s a small start, but a necessary one.