In an era where financial independence and security are paramount, empowering women in the realm of finance has never been more crucial. The journey toward Financial W(H)ealth and empowerment is multifaceted, encompassing the mastery of money management, the development of strategic investment plans, and the cultivation of a confident financial decision-making process.
Money is simply a vehicle to get you to where you want to go. Take control of your vehicle and control your path and destination.
Have you noticed it costs more as women to live? Just look at haircuts, hair coloring, nails, med spa appointments, dry-cleaning.
Also, women tend to live longer than men and tend to care for others before they care for themselves. Women may also have had a job gap if they chose to stay home with kids during school years.
In those years, women were not contributing to retirement or social security among other things. And still, today, women are typically paid less than men. This is one of the reasons that women are two times more likely to start their own business.
But despite ALL of this, according to a recent Bloomberg survey, female investors outperformed male investors by 55 percent in the past nine years. GO WOMEN! And almost half (46%) of female consider not having to rely on anyone else financially “very important” and place great value (59%) on being able to afford everyday small luxuries.
To sum it up, women’s needs are simply DIFFERENT, and we know what we need. Here is an outline of the transformative power of education, goal setting, and professional guidance.
FIND A MENTOR IN A FINANCIAL ADVISOR
I encourage you to find a financial advisor that you can trust. Someone that understands you and your financial picture. Take the time to seek out answers and advice. Don’t hesitate to ask for direction.
KNOW ONE RULE – THE RULE OF 72
This is a simple formula that helps you understand how fast money can double. If you divide 72 by the interest rate you are earning on your money, you will find out approximately how many years it will take to double your money. For example, assume you have a hypothetical investment that is earning 10% per year, divided by 72, it will take you 7.2 years to double your money. This helps create a timeline for your retirement.
HELPING KIDS UNDERSTAND FINANCES
Talk to your kids about money, your values and what is important to you about your money. Educate them alongside your education. I encourage you to give your kids an allowance. I also recommend setting up a family 401(k). As a parent, you can offer a matching program for jobs around the house or incentives. There are also many options available for college savings.
PLAN FOR YOUR ESTATE
If you own a home and have assets, you should highly consider forming a trust with directives on how to divide the assets in the event of your death. This is not an easy topic to discuss but it is the prudent thing to do for the sake of your beneficiaries and to avoid probate court. At a bare minimum you want to have a health care directive, a durable power of attorney and investigate insurance coverage for your children or others you need to care for.
BUY SMART ASSETS AND SAVE MONEY MONTHLY
For women and financial independence, this includes recognizing the impact of career choices, family planning, and retirement savings. The goal is that you accumulate enough assets that you can live off them later. Focus on growth AND income at the same time. Compound interest can work double time.
In my practice, we specialize in enhancing happiness in retirement for exceptional women. We help you design a personalized Lifestyle Wealth Plan and customize a Retire in Style Investment Strategy. Additionally, our “Did You Know” series of workshops and events serve as valuable resources, deepening your understanding of money, enabling you to build a resilient and adaptive financial strategy, and providing a holistic view of financial health. We reverse engineer the dream!
Please call me to schedule your complimentary consultation at 949-781-2100.
Wishing you all the BEST!
