Before I graduated from university in 2018, I had read about fifty books within four years. A fair amount. Before I got my first job, I already knew the exact kind of relationship I wanted with money and had solid knowledge of how to allocate my funds into investments, savings, basic needs, and emergencies without worrying about going broke before the end of the month. My money mindset was sharp, my financial preparedness vigorous.

When I eventually earned my first income in 2019, thanks to NYSC, nothing prepared me better for it than Arese Ugwu's groundbreaking book: "The Smart Money Woman." It was one of the books I read the year I graduated from university when I was trying to find my feet in the world of work and adulthood. I had been so lucky to have gotten the book free from a friend, and that was how my financial freedom cost $0. You'd ask how? 

The Smart Money Woman is a book that challenged the status quo about the financial lives of women. It's a book that changed the narrative for many women who had been struggling with money. It is a book written by a woman for women to learn basic financial books and hone them. I particularly found the book helpful because Arese not only used relatable fictional characters to drive home her point, she also successfully guided readers on how to build wealth as a 21st century woman through the actionable nuggets at the end of each chapter. Her style of writing was on point, much more her state-of-the-art practical advice, which is impressive. 

I realized early on from reading this book that financial freedom starts not from getting a dream job in a billion-dollar company but actually from one's mindset. You have to be ready to provide answers to some very difficult and self-reflexive questions. What kinds of financial ideologies does my family hold? How was it living through these hand-me-down ideologies? At what point did I realize I needed to change my financial ideology? What is my belief system about financial independence and freedom? What kind of relationship do I hope to have with money? What fiscal responsibilities do I need to outline for myself in my personal life? How am I ensuring that I have the most leveraged relationship with money that I can get? These are some of the questions you must ask yourself. Ultimately, how you behave with money is deeply rooted in how you think or what you believe about money. 

It's been almost five years since I first read The Smart Money Woman. I've re-read the book, watched the series released on Netflix in September 2021, and shortly after, I read the second installment of the book: The Smart Money Tribe. In five years, I've had two jobs, managed to earn through my writing, moved out of my parents' house for good, and made substantial investments in my personal development. I may not be living the luxurious life I envisioned many years ago or earning a fortune at my current job, but I am comfortably maintaining my lifestyle while growing my income and net worth by the side. That's what every woman should work on. "And this is perfectly achievable when you understand the relationship between how you earn and how you spend and know where the balance is," says Arese. As for her, a Smart Money Woman is the sort of woman that we are all capable of becoming. She is a woman whose hustle has purpose and has learnt to make money, keep money and grow money. She is fearless and has the guts to pursue her dreams. She has an entrepreneurial mind, and is a master of her craft. She would rather live like a princess forever than live like a queen for a few years. This is to say that any woman can get smart with money, and you can start your journey to becoming a smart money woman today. 

Here are a few financial lessons I learned from Arese Ugwu's book:

1. Confront your money fears

"Fear can be a very crippling thing; it can stifle you and stop you from taking action to achieve your goals," says Arese. I experienced this first hand and knew better than to allow fear to paralyze my financial ambitions. What are your money fears? Reflect on this question and identify them. Then, sit to strategize on how to eliminate them one after the other. If you don't confront your money fears now, it'll be hard for you to intentionally learn some basic personal finance skills that'd help you on your journey to financial freedom.

2. Track your expenses

In order to keep a record of my cash flow, I created an excel spreadsheet saved on my Google drive where I enter every transaction made on my account daily. It has six columns including income, expenditure, savings and investment. For every item I buy, every activity I do, and on every amount I save or invest, I put the records down. At the end of the month, I balance the sheet and crosscheck my record with what I have in my bank account. If it doesn't tally, I'd sit with it until I crack the code. With this, I've been able to track my expenses and especially figure out the things I can comfortably afford without a need to impress other people. Lesson? Don't wait for your income to increase before you learn to manage money.

3. Organize your money

On developing a sustainable budget for your financial goals, Arese advises that "we have to learn to spend with intention by allocating our resources to reflect the lifestyle we want and are able to sustainably afford." She proposes a 2:1:7 ratio plan for allocating funds for your long-term financial goals, short-term financial goals, and living expenses respectively. While this is a great template for you to utilize to manage your income, it is not a be-all-end-all approach to budgeting. The lesson however is to ensure that you're not spending all you earn on living expenses alone. You should have funds set aside for emergencies, savings & investment, personal development, special treats/rewards, and whatever else you care about. In any case, know that if you don't treat the money you earn with respect, it will leave you with no respect.

4. Maximize your earning potential

When you constantly track your expenses and calculate your net worth steadily, you'll soon realize that you need to increase your income. Arese advises that you need to pursue a career you are passionate about and create multiple streams of income in order to maximize your earning power and have the ability to invest. There's a caveat to that. In Arese's words, "This does not necessarily mean you have to become an entrepreneur. The reality is, not everyone is cut out to be their own boss and you need to learn this early on." You can't totally separate self discovery from your financial future. So you have to figure this out as early as possible: whether to start a business or build a corporate career. At the end of the day, you'll need to not only find your purpose but also assess yourself to know what skills you already have or should get to improve your earning potential. 

5. Grow your network 

I'll have to say the phrase; "your network is your net worth" to drive home my point here. It may sound cliché, but you can't take people and relationships away from wealth building. The hardcore truth is that we need people to make money. Whether you're rendering a service or selling a product or running a project, you need valuable people as drivers to your growth. As a badass woman, you should be intentional with growing your network and giving less time to people or relationships that do not add value to you. Leverage great relationships and attend relevant networking events that give you access to potential business partners, employers, and/or clients. 

If you have heard about Arese Ugwu's "Smart Money Woman" but haven't really gotten to read the book, now is the time to visit a bookstore and get yourself a copy. Alternatively, you could watch the TV series which perfectly dramatizes the novel in detail. You would find it highly resourceful, I promise. And what better time to define your relationship with money than now? Get smart.