Ladynomics, Vol. 2: A Woman's Practical Guide to Becoming Financially Healthy

By Dr. Randi B. Nelson

The path to financial wellness continues in the sequel to Ladynomics: A Woman's Prescription for Wealth and Financial Well-Being. Global and national struggle, such as the kind that has resulted from COVID-19, underscores how important it is to be financially fit. In uncertain times, it can be all too easy to get discouraged by one's fi

• Language: English
• Publisher: Purposely Created Publishing Group
• Release date: Jul 13, 2021
• ISBN: 9781644843420

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LADYNOMICS, VOL. 2

Published by Purposely Created Publishing Group™

Copyright © 2021 Randi B. Nelson

All rights reserved.

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I dedicate this book to my family, especially my mother Cislyn, my brother Michael, his fiancé Sonja, my niece Layla, and my father Rainford, who rests in heaven.

I also dedicate it to all the people who complete my circle, including Samaad, all my extended family, and my close circles of sister and brother friends.

I love and appreciate you all.

TABLE OF CONTENTS

Prologue

C H A P T E R   1

Mindset and Getting on the Path to Financial Wellness

C H A P T E R   2

Credit Card Management Including Budgeting/Net Worth Statement

C H A P T E R   3

Family Saving for College

C H A P T E R   4

Student Loans

C H A P T E R   5

Insurance

C H A P T E R   6

Investing

C H A P T E R   7

Real Estate–A First-Time Homebuyer

C H A P T E R   8

Retirement Planning

C H A P T E R   9

What to Do in Special Financial Circumstances

C H A P T E R   1 0

Your Financial Team

Notes

About the Author

PROLOGUE

At the time of this writing, the world is in the midst of a pandemic that has taken the lives of 3.6 million citizens worldwide and over 600 thousand Americans. Not only has it underscored how fragile we are, but it also has underscored the importance of being financially fit. Millions of Americans found themselves unemployed, relying on temporary stimulus help from the federal and state governments. Many found themselves facing evictions from their homes, even though there were financial provisions such as deferment of student loan payments, moratoriums on rental and mortgage evictions, and foreclosures, along with many other components of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. According to Hannah Webb of IGrad, In addition to the direct health impacts that COVID-19 is having on financially vulnerable people, it is also having an outsized impact on their income and personal financial situation. Financially vulnerable people often have jobs that must be done in person and are not able to work from home. This is in stark contrast to wealthier workers who are able to continue working remotely and may have seen less of an impact to their income (1). There have been some startling facts that have surfaced regarding the financial and health implications concerning minorities. Minorities have suffered the most when it comes to job losses. There are many reasons for this; many jobs held by minorities were affected the most because most minorities hold positions in industries such as the hotel and restaurant industry and health-care industries, such as home health aides. Many whites were not affected as much because many hold white-collar positions such as office or administrative positions that can easily be conducted from home. To further exacerbate this problem, not only did the pandemic find more individuals out of work, but it has shown that many minorities had little financial resources to fall back on such as an emergency fund. According to a Pew Research Center survey, nearly three quarters of Blacks and Hispanics said they did not have emergency funds compared to nearly half of whites who said they did not have the same.

Every single day, we heard in the news that individuals, minorities, and non-minorities were having difficulty paying their rent and mortgages. We also saw hundreds of individuals lined up for food at pop-up food pantries across the country.

This pandemic was a surprise to many Americans— one day many were working and making plans for the future and the next day, everything was abruptly stopped due to stay-at-home orders from various governments around the country. As a result, many were not prepared which caused financial stress.

WHAT WE HAVE LEARNED SO FAR

Who should care about financial wellness? Well, everyone should; it is for the young and mature in age. It does not matter if you are initiating your first financial transaction—whether that be opening up a checking account or savings account, receiving your first paycheck, or if you are in your sixties and finalizing your retirement plans. It is never too early to think about financial wellness. If you are in your late teens or early twenties, are college-bound and think you have to take out loans, you have to be concerned about financial wellness. If you are in your late twenties or thirties, starting a new job, and looking to purchase property and establish financial accounts, including opening up those first credit cards, you have to be concerned about financial wellness. Once you enter your forties and fifties, you become concerned with retirement and financing in those later years of life. In your sixties and seventies, you’re concerned about sufficiency and having enough money to satisfy your financial needs.

You may be wondering why a physician such as myself would care about financial wellness. Financial wellness is as important to overall well-being as physical and mental health. Each component is interconnected. What exactly is financial stress? According to the Financial Institute, it is "a condition such as pressure or strain that is the result of financial and/or economic events that create anxiety, worry, or a sense of scarcity, and is accompanied by a