Mom should share role of managing family finances

A mother’s day is always full. Taking care of children, even with all of its joys, is demanding and often exhausting. Little time or energy remain for financial matters. Who has time to think about insurance and retirement when you have children and household responsibilities pressing on you?

But not carving out space in your life to sketch out your financial future can leave a mother and child in jeopardy. It is one of the biggest mistakes women make when it comes to money, said Martina Jimenez, an Atlanta financial adviser and local chapter president of Women In Insurance and Financial Services.

“Women often are not taking control of their finances,” said Jimenez. “It happens for a variety of reasons. A woman is sometimes so busy, she lets her husband take care of the finances. Men are more confident when it comes to money and the woman is working on so many things, she doesn’t want to worry about money.”

Whether it is because of convenience, fear or discomfort, many women acquiesce financial matters to their spouses. It may not be a problem — until there is a problem. If the husband becomes ill or incapable of handling the money obligations, the wife can find herself ill-suited to carry the mantle for the family. Instead, she should know as much as her husband about the short- and long-term goals, and how they will be attained as a family.

Here are financial boiler points every woman should know:

Your family’s net worth: While a woman is likely to know how much cash is on hand for regular expenses, she may not have ever stepped back to look at the big picture. She should know their total debt and income, as individuals and as a couple. What are your biggest assets and liabilities?

Your financial independence: Many couples find it easier to share accounts. However, a woman should also remember that it is important that she “establishes her own identity in the credit world,” Jimenez said. Know what your credit report says and be aware of how all documents are titled.  Also, have access to all of the important passwords that pertain to your varied accounts and investments. “It’s not a comfortable topic, but you have to have an exit strategy for the three Ds — if you’re divorced, your spouse is disabled or there is a death.”

Your retirement plan: No one wants to work forever. How much will it take you and your husband to retire comfortably and what is your plan for getting there? Are you properly insured in all areas of your life?

Question: Do you believe men are better money managers than women? Why or why not? Who carries the bulk of the financial management responsibility in your household?

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