'Control' is a powerful word. The terms - co-operation, team approach, and partnership - have much more pleasant connotations. Yet apparently, one gender is in control in North American homes. No team approach here!
Women in Control
According to two recent studies, women are in control of household finances. This fact is not even new information in the area of finance. Women had been holding the household purse strings long before this year's study.
Environics Research Group conducted an online survey from July 22-August 4, 2010 on behalf of MasterCard. They studied 2000 18+ Canadian women. Fifty-one per cent of the women said that they were responsible for the financial decisions related to the day-to-day running of the household. Actually, this number is 4% lower than shown in a similar 2006 survey.
According to the summer 2010 study, 56% of these women were quite comfortable being in control of household finances. Only 45% of women in the 2006 research said that they liked their role. More women are enjoying their position of power.
Actually, maybe even more women have control of household finances than is suggested by the MasterCard Index. A little more than 50% of this group talked about having control. In a survey of 1000 women organized by Prudential Insurance in February 2010, 95% said that they controlled the household money.
Women and Finance
Throughout the years, a discrepancy seems to exist between the financial power of a woman in the home and women in society. While there were few lady bankers in the past, women were managing the money in homes across the continent. Now there are women bankers (and women in every profession) and they are still handling the finances for the household. What do all the statistics mean in the real world?
Why do modern women still wield the greatest control over household finances? Is it because most household responsibilities fall into their hands? Or does the decrease in numbers from 2006 indicate maybe that men are taking on a larger share of household responsibilities?
As well, remember that women struggled to be able to vote, get equal pay, and be welcomed into certain professions. How did women so easily get such control over household finances? Could it be that society doesn't put the same value on running a household as running a business? Even though our homes are the heart of our nation!
Women's control of household expenses does not always translate into control of overall family financials. The Prudential Insurance study suggested that almost all women control household finances. Yet in that same group, 86% did not feel capable of choosing financial products and 51% were unsure about how to generate income during retirement. There seems to be mixed signals about how society views women and finance – although the world of finance is becoming more "women-friendly."
Prudential Insurance says that the average female income has grown 63% within the last 30 years. Yet many women still lack the confidence to manage their money. Maybe many women undervalued their skills - including the years of money management.
Who Controls The Finances In Your Household?
Image courtesy of nmeg.co.uk