Most people who know me well know I’m serious about money. I’m an accountant by trade, who also happens to teach accounting, which also means finances are often on my mind. Truthfully, I always had an inkling for it, not just when it became my main field of study and work. I believe I can trace it to my upbringing, being raised in a single parent family home by a single mother who taught me the importance of managing what you have, and managing it well. It later morphed into a desire to never go without, a search for the  tangible, palpable security the little girl in me had not been able to find growing up without a father’s presence…This is why it’s so important for me to have a financial sense of direction, especially at the beginning of the year. This year, I am going one step further than setting up my usual financial plan and budget, and actually am setting on the path to creating a financial mission statement for myself and my family…

And this is not at random…As a Black woman, mother, wife, professional, among so many other hats I, like other women, wear, I am all too aware of the financial disparities and challenges faced by women. These challenges not only affect women’s levels of financial literacy, but also their financial well-being, and access to financial support and tools to acquire, develop and generate wealth.

According to the 2022 Survey of Household Economics and Decision-Making, women are 79% less likely to pay their bills on time than their male counterparts (84%). They are also shown to be 52% less likely than men to have sufficient emergency savings to cover three months of expenses than men (at 56%). Lastly, the survey reveals women are 15% more likely to have upped their debt and credit card usage, as opposed to only 12% of men. While the gender wage gap certainly contributes to these statics, increasing childcare costs and the effects of inflation are also notable contributing factors that put women at constant financial risk.

Research also shows there is an acute gender gap in financial literacy explained by household specialization. This occurs when men specialize in financial decisions for the household, while women get confined to other household functions. As a matter of fact, the UBS 2019 Global Investor Watch found that globally, only 23% of women handle long-term financial planning decisions. A majority of women worldwide (57%) keep deferring critical financial decisions to their spouses, with millennial women surprisingly displaying this behavior.

All these reasons (and more) make it not only necessary, but absolutely indispensable for women in particular, to build a solid financial house in order to protect themselves and their families. This is where a financial mission statement goes a step further than a simple financial plan or budget.

A financial mission statement, or wealth mission statement, articulates your unique financial vision, in alignment with your own values, goals and principles, to help you define the steps you need to take to thrive financially. In this sense, it’s not just about following a series of popular, albeit financial guru-approved, rules and regulations. It’s about diving deep into what financially matters to you as a woman, mother, wife, sister and friend, and devise your own path towards the objectives that are uniquely ours.

If, like myself, you are yearning for finances that reflect who you are and what you deem important, here are a few steps that may help to build your financial mission statement:

• Articulate your financial vision

Vision is everything. One of my favorite Bible verses is Proverbs 29:18, “Without vision, the people perish.” Often, especially when it comes to finances, we as women tend to adhere to other people’s visions, whether it’s our spouse’s, families’, or whatever financial authority is trending at the moment. Don’t get me wrong, I’m a big Suze Orman fan. However, what I’ve come to understand, is there is a BIG difference between being inspired by someone’s advice, and having one’s own vision.

What is your financial vision? What do you see, in the eye of your mind, happening for you and your family financially in the next year and beyond? Where do you financially see yourself and your loved ones in the next year, the next five or even ten years? Not just in terms of owning the rarest Birkin bag (which can serve as an investment piece, but that’s a discussion for another day), but in terms of your financial house of spending, savings, and investments?

These are crucial questions that do not just enlist your ability to dream about an abundant future. They are also questions that prompt your sub-conscious to envision a financial future reflective of your personality, history, and desires, but also of your self-perceived limitations and traumas.

• Lay down your financial values, goals and principles

What do you value when it comes to your finances? What are you household and family values in terms of money? Where is it important for you to spend, save or invest?

Defining what you value as an individual, and together as a family, is a crucial step in refining your sense of financial purpose and direction. For me, tithing and investing in my children’s education are priorities, based on my own sense of values, but also my story and my mindset. What are financial priorities for you and your family?

• Decide on your financial actions for the next year

What financial actions will you be taking based on your vision, values and principles? What goals will those actions lead you to? What are the steps that will get you there?

Reflecting on your financial vision and laying down your financial values, goals and principles, are the prelude to deciding on your financial actions for the future. Usually, these decisions come first, at the expensive cost of proper alignment with one’s authentic vision, purpose and values. It is then no wonder that most of our financial goals end up being abandoned after only a few weeks or months…

All in all, building a financial mission statement is a powerful exercise in laying a solid financial foundation against which to pursue goals well aligned with our unique vision and values. It also provides us with the opportunity to reflect on our core principles and what guides us in general, and question some of our core beliefs as well.  For me, it’s been a revelatory process of self-discovery and self-realignment, a journey of sorts into the paradigms I’ve been upholding about money. After all, it’s deeper than money, it’s about who we are, what we believe in and where we are going…

Have you ever built your own financial mission statement?

The Corporate Sis.