Why Are Only 8% of Women Ready for Retirement?
Posted on February 06, 2012 by Lynn Telford-Sahl, One of Thousands of Money and Finance Coaches on Noomii.
"I am too busy to think about retirement. It's a long ways away. All my $$ goes to pay bills." No excuses (how many pairs of shoes do you own?) Start.
Women control 51% of the wealth in America. I was shocked and pleased to hear that and yet many, many women I talk with aren’t planning soon enough or saving anywhere enough for retirement. Instead what I observe is that women often don’t want to think about retirement. And, while I understand, retirement going to be here sooner than we’d like to imagine.
Women are working very hard in their businesses, caring for their children, their families (including elderly parents). Who has the time to consider and plan how to make their money work for them? When I’m coaching women in business I assess how much income they’re earning, if they feel they’re charging enough (often not), how their spending is, the amount of debt they are carrying and whether they have a 401(k) or other investment vehicle.
Here are three things women need to do. And remember: “A man is not an retirement plan.” Deborah Price, Money Magic
1) Just Start an investment account. The earlier the better. “For the first time, women in the work force full time are just as likely to have access to a 401(k) as men and their participation rate is as high as we’ve seen.” Catherine Collinson, president, Transamerica Center for Retirement Studies. (Modesto Bee 2-5-2012)
2) Know what you’ll need to replace your income in retirement and maintain your lifestye. Google retirement calculator, pick one and plug in social security, other income and expenses. This exercise is not as fun as going shopping, but when you’re 75 and either don’t want to work or are unable to, all those shoes or beauty products you’re buying today aren’t going to keep you warm or add to your income. But the $50.00 a automatically deducted each and every month can and will.
3) Take more risks. Women don’t often take investment risks. I’m financially conservative myself, yet we want our money to work as hard for us as we’ve worked to obtain it. Women still only earn 78 cents on the dollar compared to men. We take time off to have children or caretake others. The really savvy women I know do take calculated risks. One of my friends has been a real estate investor for 30 years and built quite a retirement fund for herself. Here’s to you taking charge of your money today so it works for you tomorrow!!
Lynn Telford-Sahl, M.A. Psychology, Certified Money Coach, helps women in business achieve their dreams by getting their money house in order. Lynn has been coaching, speaking & conducting workshops for 8 years and has a 20+ year background in counseling. Lynn is also the author of two books: Intentional JOY: How to Turn Stress, Fear & Addiction into Freedom & The Greatest Change of All. Both books are available online at www.coachingmodesto.com. As an experienced money coach for women in business, Lynn offers a FREE 15 Minute phone consult for any Money Challenge you are experiencing. (209) 492-8745 or lynntelfordsahl@gmail.com
