More Than Just Ordinary: Understanding Women’s Role in Family Finances
Dear Sikapi friends, when it comes to financial planning, women play a very strategic role in the family. In fact, about 85% of household spending — from monthly groceries and buying a house to deciding on a car, clothing, and more — is managed by the wife or mother at home. Wow, it’s almost like she’s the family’s chief financial officer, isn’t it?
When it comes to financial planning, women play a truly strategic role in the household. Did you know that around 85% of family spending decisions — from monthly groceries and home purchases to car choices, clothing, and more — are managed by the wife or mother at home? It’s almost like she’s the family’s financial manager!
In reality, a woman’s role in the family is not limited to being a mother who educates the children — she is also responsible for managing daily finances and even making key strategic decisions that involve money. So, what can women do to manage their family’s finances well? Here are a few important steps:
Set Financial Goals
For example, in a family preparing for their child to enter elementary school, a mother will usually start by researching the best schools, comparing tuition fees, and figuring out how to allocate money for things like uniforms, textbooks, and school fees.
In this case, communication between both parents is crucial in determining financial goals, because family financial goals are a shared responsibility. Both father and mother must be able to distinguish between needs and wants, and then set priorities based on time frames — short-term needs like monthly groceries, and long-term goals such as owning a home. When setting financial goals, women must also consider the family’s income sources — whether it’s from the husband as the main breadwinner, or from the wife if she also works.
Review Your Wallet and Keep Financial Records
To manage income and expenses and keep the family finances healthy, a mother should maintain financial records. This includes writing down monthly income and expenses — even daily spending. By keeping track of finances, mothers can evaluate spending habits, identify wasteful expenses, and ensure money is spent according to real needs.
In addition to tracking income and expenses, it’s also important to list debts and assets to understand the family’s financial health. Both mother and father can share this task — for instance, the mother records daily household spending, while the father tracks loan payments and investments.
Create Budget Categories
Mothers can organize finances into different spending and income categories. Start by budgeting for top-priority needs that align with financial goals — such as groceries, transportation, electricity, children’s school allowances, and monthly loan payments. Don’t forget to set aside funds for saving and investing to help meet long-term financial targets.
Choose Financial Products That Match the Family’s Needs
Once financial goals are set, the wife or mother also plays an important role in choosing financial products that suit the family’s needs. For example, she might consider getting health insurance to protect the family from unexpected medical expenses in the future.
Be Wise with Debt and Investment Decisions
Many fraud cases — including illegal online loans and fake investment schemes — have affected housewives due to a lack of financial knowledge. These scams often lure people in with the promise of easy processes or unrealistically high returns. While borrowing and investing can be beneficial for family finances, they must be done wisely.
Before taking on any loan or investment, make sure to check the “2Ls”:
Legal and Logical
Legal: Ensure the institution is licensed and supervised by the Financial Services Authority (OJK).
Logical: Check that the promised returns are reasonable, clearly explained, and transparent.
Now that you’ve learned how strategic women’s roles are in managing family finances — whether as a mother or a wife — it’s time to take action. Let’s plan our finances carefully, for a more prosperous and secure family future!
