Ladies, start planning your financial future today!
Posted by Stephen McCarthy on Thu, Jan 19, 2012 @ 08:12 PM
Women lag behind men in the financial retirement stakes. What can be done about it? Here are the next 10 tips in our two-part series.
In December we highlighted the unfortunate reality that while women typically outlive their partners by 4 or 5 years, their salaries and superannuation still lag behind, so much so that:
- Women earn on average 17% less than their male counterparts.
- The superannuation balance of women is about half that of men – $128,598 vs $233,961. *
So what can be done to improve women’s retirement prospects?
Here are our next 10 tips to help you get started on your journey towards financial security.
- If you have a binding superannuation death benefit nomination, review and renew it every 3 years, otherwise it will lapse and be invalid and your death benefit payout may not be paid to your beneficiaries as you intend.
- Speaking of misfortunes, make sure you and your partner have current, valid wills. It can take years of legal wrangling to sort out a deceased estate when someone dies without a will.
- Make the development of sound financial planning and management a topic in your home. Buy books and magazines on the subject, and read them. Discuss them with your spouse and your children.
- Keep a record of your progress. Like any activity, if you are committed to a plan, and make conscious efforts to achieve it, then taking stock of your progress is highly motivational.
- Don’t forget to celebrate the wins along the way, no matter how small they may seem.
- Don’t wait until it’s too late. Start early, and go hard. What a pity it would be, after working so hard for so many years, to reach retirement age, fit and healthy, looking forward to the next 20 or 30 years, only to find that you will run out of money and lamenting “If only I’d done something about it, long ago when I had the chance …”.
- Be determined. There is nothing holding back the women of today. Equal opportunity is there for all, so grab it, and make sure that you are going to be “equal” in terms of getting yourself into good financial shape for life.
- Help others. Make financial security a topic that you’re prepared to raise and discuss with family and friends, so that your leadership and confidence rub off on others.
- Be grateful that you live in Australia – the lucky country! With only 22 million people and a continent filled with opportunity, we live in one of the most privileged and fortunate countries on earth.
- “Carpe diem!” as the saying goes. “Seize the day!” Don’t delay.
McCarthy Group has helped many Australian families analyse their financial situations and develop sound financial plans for their future.
More and more women are choosing to take this vital step to achieve financial security and independence. You can too. There’s no time like the present.
A great way to start is to have your finances reviewed. McCarthy Group's licenced credit analysts can help you make your mortgage work harder, consolidate debts and free up more cash for your investment strategy. Why not book in for a finance review today?