Sunday, September 16, 2007

Women vs. Men

Kay from Don't Mess with Taxes has a great post on post about the men, women & money. SVB and Nina have also been a part of the conversation

My husband and I have frequent financial discussions that show the stereotypical differences between how men and women view money. In managing our money, there is both the offense and defense point of views. Offense is related to generating more money. Defense is related to saving the money that you have/earn. Men tend to focus on offense. Women tend to focus on defense. Of course this is a complete generalization.

It's much easier to focus on defense and to see small immediate results, whereas focusing on offense requires more work & risk, but there's a much greater payoff. In my own personal experience, the best teams (or the best personal money managers) focus on both offense and defense.

In the experience of my husband and I, I am sure that my focus on defense has helped us increase our savings & net worth. However, since neither of us were big spenders to start, this hasn't has as much of an impact on our savings & net worth as our salary increases. Making more money doesn't matter if you don't keep more of it, but making more money makes it easier to keep more of it.

3 comments:

ChampDog said...

I think most people do not realize the important of the defense strategy regardless of female or male. Most people sometimes just over focus on the offense and until they forget about the important of defense strategy. Yes, they aware of it but they just simply forget. In general, I think business people (both Women and Men) are tend to focus on offensive stragegy as compared to those non-business people (e.g. employee).

The Digerati Life said...

Great analogy -- dealing with finance is definitely about fulfilling both strategies in offense and defense. Although I tend to focus more on offense... since it is not as limiting.

calgirlfinance said...

Champdog, I agree - most people just focus on offense (except those very interested in PF)

SVB - I agree offense is much less limiting than defense and the rewards are so much greater!