For some friend groups, there are no topics that are off limits. But how often do you talk about debt repayment or savings strategies with your friends?
Robyn Thompson of Castlemark Wealth Management joined us on Morning Live to share how you can start conversations about money with your girlfriends.
“Generally as women, having conversations about fashion, diets, relationships and travel are things that we do all the time,” Thompson said.
“When it comes to one of the most important parts of our lives, we just leave it off the table. But this is where the gold is because when you start to share your knowledge, your entire friend group gets richer.”
Why is this topic important to discuss with friends?
Thompson said women are in control of more money than people tend to believe.
According to a study from CIBC, women directly controlled $2.2 trillion of personal finance assets in 2019.
CIBC estimates that figure will increase to $3.8 trillion by 2028, one third of financial assets in Canada.
“Usually [financial] decisions are made within the household,” she said.
“But decisions like these need a strong support network – one you might need to build with like-minded people such as your friends.”
How is it different from talking about money with your partner?
Having conversations with your partner about finances can become quite emotional if you do not see eye-to-eye.
That’s why Thompson recommended discussing this topic with a trusted friend who can provide an objective perspective and help you to make financial decisions based on facts rather than only emotions.
“When women are having conversations with women and they’re coming back to their partners with new, fresh and innovative ways to solve a problem or reach a goal, they’re very grateful because now they’re not the only ones that are making these financial decisions,” she said.
What financial topics should I avoid discussing with friends?
While it is important to have honest conversations with friends about money, Thompson said there are some topics you should shy away from.
“Probably not a good idea to start discussions of net worth that will ignite comparisons, jealousies or feelings of inadequacy,” she said.
“Complaints about your partner’s financial habits should also be off the table.”
Rather, she recommended asking your friends about their saving strategies and their goals.
