Women and Investing
Women In Investing | Financial Differences for Women
No matter your age, gender, or race, financial security is a goal that every person hopes to achieve – who doesn’t want to achieve financial success in life? However, while everyone may have similar financial dreams, women in particular often find themselves in different financial circumstances than their male counterparts – financial circumstances that have the possibility to make it difficult to achieve financial success. The good news is that women have never been in a better position to achieve financial security for themselves and their families than they are today. More women are achieving success as professionals, business owners, and knowledgeable investors, which means more women are in need of a financial plan to work towards financial security throughout their lifetime.
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If you’re a woman working towards financial security, there are a few things you should be aware of so that you can create a successful financial plan:
- Women are more likely to take career breaks for care giving. Whether this is by choice or an unforeseen circumstance, women often face numerous substantial financial implications by moving in and out of the workforce.
- Lost income, retirement benefits, employer-provided health insurance, and other employee benefits
- Generally less savings
- Potentially a lower Social Security retirement benefit
- When reentering the workforce, it becomes more difficult to find a job, or a comparable job, that offers the same pay and/or benefits
- Increased vulnerability in the event of the divorce or death of a spouse
- Women have longer life expectancies. Women live an average of 4.9 years longer than men (Source: National Vital Statistics Report, Volume 60, Number 4, January 2012).
- A longer life expectancy produces several financial challenges for women. A longer life expectancy will most likely result in a longer retirement period, which means retirement dollars will need to be stretched further to last the entire length of retirement.
- Women are more likely to require some type of long term care, and may have to face some of their healthcare needs on their own.
- Married women are more likely to outlive their husbands, which means they could have ultimate responsibility for the disposition of the marital estate.
- Unfortunately, women generally earn less, which results in fewer savings. According to the Bureau of Labor Statistics, women in most full-time occupations earn only 81% (on average) of what men typically earn. This wage gap can greatly impact women’s overall savings, Social Security retirement benefits, and pensions.
- Women are more likely to live on their own. More women are living on their own in today’s society – whether it is by choice, divorce, or death of a spouse. This results in the need to take sole responsibility over protecting income and making financial decisions.
- Women have the tendency to be more conservative investors. Whether they’re saving for a home, college, retirement, or a tripe around the world, women are sometimes more conservative when it comes to investing – this could mean that their savings might not be where it should to successfully meet their financial goals.
- An asset protection plan is a NECESSITY. For women who own their own businesses, are the main breadwinners for their families, or are just earning money in general, it’s VITAL to take steps to protect your assets. Without an asset protection plan, a woman’s wealth is vulnerable to taxes, lawsuits, accidents, and other financial risks that are part of everyday life.
Financial Strategies for Women
As a woman with financial responsibility, it’s important to know how to save, invest, and plan for the future – we want to see you have financial success today, tomorrow, and years from now! To help you achieve this financial success, here a few things you can do.
No matter the stage of life you’re in, it’s critical to educate yourself about finances so that you will be able to make the most beneficial financial decisions and guarantee yourself future financial success.
We understand that the world of financial planning isn’t always easy to understand or convenient, which is why we believe it’s important to work with a financial professional. Not only will a financial representative be able to help you understand your options and help create a successful financial plan, they’ll also be able to answer questions and help you find financial security in your life.
At Maier & Associates, we want to be your financial professionals. We genuinely care about the financial success of our clients, and want to help you achieve all your financial goals. Whether you need help review your options for college savings; guidance on how to generate income from stocks; assistance with retirement planning; financial advice after going through a divorce; or even inheritance planning, we’re here to help! We will work with you to select a suitable portfolio option that works with your overall plans.
IS IT TRUE THAT WOMEN DO NOT TAKE AN ACTIVE INTEREST IN FINANCIAL PLANNING?
At Maier and Associates we know that is not the case. We work with women each day who are actively involved in planning and investing for their financial wellbeing. Women today know how important it is to plan, and they know it is becoming more and more likely that they cannot depend on a corporate pension plan for retirement income.