Step-By-Step Guide For Women To Save And Invest

Women have been a natural in home management for financing. The notion of women as strategic investors use to have some biases in the beginning. But the modern trends show women have the capability and resourcefulness for financial management.

Saving the money first and then investing money are simultaneous processes. If you are looking to build your investment portfolio, creating a specific plan can help women to be more secure for their future.

Here is your step-by-step guide for women to save and invest for keeping organized Investment portfolio management.

Determine your Financial Baseline

Every financial journey starts with small steps of investment.

The first step is to understand the current cash flows as inflows and outflows. Inflows are income, interest, and money coming from your salary, businesses, properties, or other investments.

You also must understand the expenses or the outflows on monthly terms such as rent, groceries, school fees, gym fees, luxuries, etc.

Once you have a complete idea about the cash flows, you are ready to plan and invest for the future. You can separate expenses, have a monthly budget, and keep some amount for future purposes. As a woman, you have to take care of the household activities and plan for a safe financial journey.

Build a Powerful Financial Plan

A simple and effective investment plan can lead to a more secure financial life. And if you add purpose to your goals, it will further motivate you to achieve those goals in the desired time. Modern women are educated, well-planned, and can enjoy more leisure activities with a strategic financial plan.

Have some plans, goals, and objectives for your upcoming life for next year, five years, ten years, or the retirement stage.
Everybody loves a foreign vacation, settling for a better home after ten years, or keeping things tidy for retirement.
Also, create an emergency fund for instant help and avoid any hiccups or dependency on others.

Women historically have been known as homemakers maintaining all activities around themselves. With education and modernization, today women, understand the importance of finance and take privilege in making better decisions for their families.

Start as early as possible and stay for long-term

Many have called the Compound interest the best way of investment to grow financially. So you must have a financial plan as soon as possible.

Starting early is the key to investment. Adding years and years of interest can make the investment grow in the right direction.

Suppose you invest INR 10000 at 10% annum, which will give INR 1000 interest making the principal amount INR 11000 after one year. Similarly, it will be INR 12100 after two years, 13200 after three years, and so on…

And when you have ten, twenty, or thirty years, this overall amount can help you create a big compound wealth with more duration.

Women are naturally caring, resourceful, and manage money for their households. Adding these specific practices, women can further help their families to be financially ready for their future.

Minimize Risks

Life will always remain unpredictable and can put you at risk at any given time. Covid-19 has proven that you need to be ready for emergencies in life.

Women have to be proactive in managing risks to have a chance for a better life in the future.

Never put all your eggs in one basket rather than invest in multiple funds. All experts will tell you to have a diversified investment portfolio to minimize risks and handle market volatility.

Tax Management

Income taxes are an added responsibility that you must undertake to manage finance precisely. Several investments and practices can help women in tax management.

Equity-linked savings schemes (ELSS), Public Provident Fund(PPF), government tax funds, etc are there for managing taxes on personal income. Tax Schemes generally come with a pre-defined lock-in period.

You can also consult with a tax expert to further help you in controlling taxes on income.

Controlling the emotions and effective decision making

Women get through a lot in their life with birth, job, security, finances, emergency, along with day-to-day activities.

Women naturally are more emotional than Men. Still, they have shown the capability to make better decisions and handle pressure simultaneously in every stage of their life.

Short investment offers more returns but comes with market volatility. Whereas Long term investments are more stable and complement your wealth creation plan strategically. So decision-making in investing long-term plan takes precedence and builds the fundamental base for futuristic goals.


Women are the beacon of light in this digital age. Women have stood shoulder to shoulder with men to deliver to par excellence.

These steps will help women to be prepared for their financial journey and keep them stay invested for better future goals. You must also consult financial experts to stay on the right path and steadily grow your portfolio to live a better life tomorrow!

CA Mukesh Gupta
CA Mukesh Gupta
Mukesh Gupta is the founder and director of Wealthcare. He is Fellow chartered accountant, Certified Financial Planner and Certified Public Financial advisor. He is in financial services industry since 1994. He conducts free money management sessions for corporates and associations on topics related to Personal finance. His previous engagement was with Birla Sunlife group. He regularly writes on topics related to Personal finance and occasionally appear on electronic media.

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