Why Women Need Their Own Money Beyond Shared Bank Accounts

It’s a Sunday afternoon. The family is gathered, and a conversation about money unfolds between three generations of women—grandmother, mother, and daughter. The grandmother recalls how every rupee was stretched during World War II, the mother talks about balancing household expenses while raising kids, and the daughter argues that money is meant to be spent, not just saved.

At first glance, their views on money seem different. But dig a little deeper, and the core issue is the same—women’s financial independence. Not just access to money, but complete control over their own finances. In India, where women have historically been encouraged to depend on their husbands or fathers for financial security, does having a shared bank account really mean financial independence?

In many Indian households, the idea of a shared bank account is seen as a sign of unity and trust. But does access to a joint account truly empower a woman if she still feels hesitant to use it freely?​

Financial advisor Nisreen Mamaji explains this hesitation with her own example. "Even if my husband tells me, 'You know, this is the money you have,' but unless he actually gives it to me and says, 'No questions asked, this is your money,' I will not spend it."

This sentiment is more common than you think. A 2024 survey by Women's World Banking found that 50% of Indian women with bank accounts don’t actively use them or rely on male family members to manage their finances.

Many women hesitate to spend money—even when they technically have access to it—because they feel answerable for every rupee they use. Nisreen adds, "So whether I want to spend it for a gift for my mother, for my daughter, or for myself, I don’t want to be answerable."

Even when women do earn, their financial independence is still challenged by the gender pay gap. According to the World Economic Forum’s Global Gender Gap Index 2024, women in India earned on an average 34% less than men for the same work. This disparity is even wider in high-paying industries like technology and finance.

Financial dependence often stems from these inequalities. If a woman is earning significantly less than her husband, whose financial decisions are likely to hold more weight in the household?

Financial independence isn’t just about earning money—it’s about knowing where your money is and having the power to make financial decisions. Nisreen stresses the importance of women managing not just their own earnings but also understanding household finances. Nisreen goes ahead to say that, "Not only should they invest their own money, but they should also be involved in the husband’s and the family’s joint finances."

The biggest risk of financial dependency? Unexpected life changes. Women who don’t take an active role in managing finances often struggle when faced with unprecendent situations, like becoming a single parent, or you’re divorced or widowed, and then she adds, "You have no idea what’s going to happen to the money because you’ve never gotten to it."

As per Bharat Loan Lending Report 2025, female borrowers accounted for 10.81% of total credit disbursements in India, with 50% of these borrowers aged between 25-35 years. This trend indicates a growing inclination among young women to take charge of their financial futures, though the overall percentage remains relatively low.

Women in India have traditionally preferred gold and real estate as their primary investments. In fact, according to a 2024 Square Yards' report, women accounted for 1.29 lakh residential transactions in 2024, a 14% increase from the previous year.

However, when it comes to stocks, mutual funds, or digital investments, women are still lagging. AMFI's 2025 Factbook revealed that only 33% of Indian women actively invest in equity markets, compared to 67% of men. The reasons? Lack of financial literacy, traditional money mindsets, and lower disposable income.

One solution to financial dependence is paying homemakers for their work. Homemakers contribute unpaid labour worth Rs 19 lakh crore annually in India, yet their work is often undervalued, revealed a 2024 Oxfam India Report. While this has been a debated topic, the logic behind it is simple—if domestic labour has economic value, why isn’t it compensated?

Nisreen strongly supports this idea, emphasising that, "A homemaker should have a salary. Running a home is a full-time job, and yet, it’s unpaid. Financial contribution should be recognised."

While a structured salary for homemakers isn’t yet in place, some families have started giving homemakers a set monthly amount to manage as they wish.

Ultimately, financial independence isn’t just about earning—it’s about having money that’s truly yours, understanding how to grow it, and having the confidence to make financial decisions.

The real question is: If tomorrow, a woman finds herself single—due to divorce, widowhood, or other circumstances—would she be financially prepared?

A shared bank account won’t always be there. But financial independence will always be empowering.