Women and finance: Why self-confidence is often lacking!

Women and finance: Why self-confidence is often lacking!

A recent study by Verivox reveals worrying financial insecurities among women. The survey, conducted in April 2025, shows that only 32% of women feel well prepared to deal with financial challenges. In contrast, this figure for men is 51%. This discrepancy highlights the clearly existing gender gap in the area of ​​financial education.

Another worrying point is that only 55% of women regularly monitor their income and expenses and keep a household budget, while 67% of men do so. Young women between the ages of 18 and 29 in particular seem to be lagging behind: only 46% of them create a budget, while 67% of men of the same age do so. These numbers speak to the need for greater financial education for women.

The feeling of security and financial decisions

Women's sense of security when it comes to financial decisions is alarmingly low. Only 38% of young women say they feel confident making financial decisions, while 65% of young men feel the same. Additionally, knowledge of investment principles is an important aspect: 59% of men understand these concepts, while this figure is only 33% for women. This inequality not only limits self-confidence, but also has long-term effects on women's financial security.

The study also shows that women are often overwhelmed when reading financial news. 41% of women said they had difficulties, while for men this figure was just under 33%. Sandra Vollmer from Verivox emphasizes that solid financial knowledge is crucial to developing a strong sense of security. “Early financial education can boost women’s confidence and encourage them to make active decisions,” she recommends.

Decision-making behavior of women in financial matters

Additional findings from a ZEW study make it clear that women often answer “don’t know” when asked about financial questions, even though they often know the correct answer. This influence of self-confidence was analyzed within two survey modules. In the first module, participants had the opportunity to select “don’t know.” In the second module, this answer option was deleted, forcing many women to choose an answer. The results show that the majority of women gave the correct answers when pushed to make a decision.

These observations reinforce the need to promote financial literacy among women to boost self-confidence. A combination of knowledge and planning could not only lead to greater control but also long-term security in financial matters. The challenges women face in finance are complex and require comprehensive measures to improve their financial skills.

For more information on these topics, see the articles from Colorful and that ZEW.