Every time I write about couples and money, I get emails from misogynists taking me to task for suggesting males might overspend. Everybody knows, these gentlemen proclaim, that women are the real spendthrifts.

My email bag begs to differ. I hear from plenty of women who despair about their partners’ inability to control their spending.

A recent paper from the folks at the Wharton School sheds some interesting light on the topic. These researchers constructed a “Tightwad to Spendthrift” continuum and invited people to take a test to see where they landed.

• Overall, 24% landed on the “tightwad” end of the spectrum, which basically means that they find it painful to spend money.  The researchers proposed “that an anticipatory pain of paying drives ‘tightwads’ to spend less than they would ideally like to spend.”
• In contrast, the 15% of respondents who wound up in the “spendthrift” category ”experience too little pain of paying and typically spend more than they would ideally like to spend.”
• The rest of those polled (60%) wound up in the “unconflicted” category. (That doesn’t mean they don’t have money issues, credit card debt or inadequate savings, by the way; it just means that in the hypothetical situations they spent neither more or less than they considered ideal.)

Interestingly, women in the survey were just as likely to be defined as tightwads (20%) as they were spendthrifts (19%). But men were far more likely to be tightwads (29%) than they were spendthrifts (11%).

Of course, this is just one study of self-selected participants who found their way to the Internet test and spent the time to take it. That falls a bit short of the rigor one would expect of scientific polling.

Still, it’s food for thought. What I found more interesting than the gender differences was the fact that so many more people, men and women, wound up on the tightwad end of the scale than on the spendthrift side. For all the attention given to impulse spending and compulsive shoppers, these results indicate that many folks are–as the researchers put it–”frustratingly unable to indulge themselves.”

The key to successful money management is balance, and many people don’t have it. Whether you spend too much or too little, it’s worth the time and effort to address your financial issues.

TAGS: compulsive spending, differences between women and men, spendthrift, tightwad, Women and Money

I’ve often thought it odd that people seem to be more reluctant to talk about their income than their sex lives-but that may be changing.  The NY Times reported yesterday that young people are more likely to share information about salary information (see Not-So-Personal Finance).  This trend is good news for women; the more women know about what others are making, the more likely they are to ask for what they are worth.

As you may know, the gender gap in pay affects not only older women but younger women as well.  For example, starting salaries of men with MBAs are 7.6% higher than those for women. Only 7% of women, but 57% of men asked for more money; those who negotiated increased starting salaries by 7.4%.

One of the things that makes the difference for women is good information.  So, keep up the sharing!

TAGS: differences between women and men, Fairness at work, financial planning, gaining confidence, negotiating pay, negotiation skills, Pay Disparity, Women at Work, women's equality

 You may have seen the NBC series on the differences between men and women.  One segment: http://www.msnbc.msn.com/id/21134540/vp/22707660#22710673

provided data that within one year after graduating from college women earned as much as 20% less than men with the same education, background, etc.  So the next time someone asks me, “But don’t you think women have come a long way?” I’m going to tell them, “Obviously not far enough if in 2008 pay disparity still exists.”

TAGS: differences between women and men, Equal pay, Pay Disparity