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Sophia Amoruso teamed up with SoFi to create a financial guide specifically designed for women. Although women control the majority of discretionary spending, there is still a gap in financial literacy between men and women when it comes to investing. Amoruso found herself making financial mistakes in her twenties after having success as an entrepreneur. This guide is her way of helping women avoid the mistakes she made while becoming financially independent. The synergistic collaboration between Amoruso and SoFi stemmed from the mutual passion for empowering women to take control of their money from investing to saving and retirement.
“We collaborated with Sophia and our in-house financial planner, Kendall Meade, to build this financial guide because we have a shared passion for helping women get their money right. Money is often the most significant barrier between women and achieving their ambitions and they don’t know where to get started. Today, women represent more than half the workforce—66% of mothers being breadwinners or co-breadwinners in their households and 41% of women are primary breadwinners. Yet, almost half of women say investing in the stock market is too risky. However, when women begin investing it’s been proven time and again that they outperform their male counterparts’ portfolios. Women strive for success in every aspect of their lives and it is so important they strive for success in their finances, too. Sophia has experience creating a dynamic network of ambitious women and we knew she would be a great partner on our latest financial education resource for women,” said Lauren Stafford Webb, Chief Marketing Officer of SoFi.
Even though Amoruso has built multiple brands, she finds her strongest talent to be content. “Whether it be a book, brand copyrighting, my newsletter, or something else entirely – content is how I’ve expressed myself and what I have to offer for as long as I can remember. My audience of over a million across my social channels and newsletter list is squarely interested in building wealth and building their careers: two things that go hand in hand,” she shared. “It’s important that everything I do feels accessible and easy to understand because I’ve been in the position of the person who has no idea what’s going on with money. SoFi’s platform demystifies banking, borrowing, and investing in ways that serve a broad demographic and is especially important for women. The opportunity to educate people at scale about things that are rarely talked about is something that, as an over sharer, is extremely natural to me, and also is aligned with SoFi’s mission.”
According to research conducted by SoFi, almost two-thirds of women (62.4%) said they create a budget for their spending, almost three-quarters (73.2%) of women said they review their spending and savings habits on a weekly or monthly basis, and just over half (52%) of women say they believe they are financially savvy or literate. With the launch of “Making Money On Your Money”, SoFi’s goal is to help all women get their money right and achieve financial success no matter what stage they are in their journey to financial independence. SoFi understands that financial literacy is a critical factor in ensuring that people feel empowered to get their money right and take charge of their financial futures. Personal finance is personal so there is no one-size-fits-all approach and everyone approaches their finances with a different level of knowledge. “At SoFi, we provide digestible and easy-to-understand financial education tools and resources to meet our members wherever they are on their financial journey. This guide explores the top five most common financial topics: investing, debt, spending and saving, financial goals, and budgeting. If you don’t know where to get started, our goal is to familiarize you with these five core financial concepts,” shared Webb. “If you already have a financial plan in place, this guide will serve as a useful reminder of how to approach the core fundamentals to get your money right.”
Amoruso co-created this guide from the lens of being a 22-year-old community college dropout with little financial knowledge, “I’ve never learned purely by reading, but instead by being interactive and given practical advice and examples, which I can apply to my own life. When I made money for the first time, everything was expensive and I didn’t know the difference between expensive and outrageously overpriced. I had to spend money to understand it, and ultimately, I lost a lot while learning the ropes. Had I learned about money earlier in my career, I would have been in a better position to manage it when I finally put a significant amount in the bank. I’ve also learned to be selective about splurges. When you’re in your 20’s and can afford to buy your friends oysters, it’s an amazing feeling, but when you do it all the time… it’s less amazing. It’s okay to reward ourselves with purchases that reflect our hard work with things that elevate our lives, but too much of it can really drain your bank account.”
It was equally as important to democratize information like this to groups who typically left in the dark, “Underrepresented groups, such as women and POC, have been existentially excluded from building wealth. The keys to understanding money have been historically held by men in suits high up in office buildings in Manhattan who went to “the right school”, “the right parents,” and a pedigree that very few of us have. Often banks won’t provide services unless you have a minimum amount of capital, and at this point, we know that women and POC make less money than their male counterparts. We are decades behind when it comes to being included in conversations and services around money, and I feel a responsibility to pass on the knowledge that I’ve been so privileged to learn through the exposure I’ve had that very few people who come from middle-class families are exposed to.”
The guide goes into depth covering investing options, good vs. debt, spending, and savings with worksheets, quizzes and resources to help readers implement their learnings. Amoruso’s number one tip for women is to focus on investing, “Unless you’re a public company or CEO, very few people are making salaries substantial enough to compete with what compound interest can do for us. You don’t have to make $1M a year to be a millionaire, you just have to invest your money wisely and be patient.” SoFi’s CFP, Meade, recommends people utilize a high-yield checking and savings account so that their money is earning money where possible such as SoFi’s high-yield checking with 4.2% APY.
In addition to the guide Amoruso will be sharing content across her social platforms continuing the conversation around financial literacy and transparency. The guide is free to access on sofi.com/sophiamoruso.