Nearly 60% of women take the lead in managing their household finances, yet only 19% feel confident in their ability to retire with a comfortable lifestyle.[1],[2]
These figures suggest that most women don’t hesitate about the day-to-day financial decisions needed to run a household. Still, when it comes to projecting and strategizing for retirement, some women may leave their future to chance.
Women with expertise in other areas may feel uneasy amidst complex calculations and long-term financial projections. Just the jargon of personal finance can be intimidating: 401(k), 403(b), fixed, variable. It may seem like an entirely different language to someone inexperienced in personal finance.[3]
However, women must keep one eye on retirement since they may live longer and potentially face higher healthcare expenses than men.
If you have left your long-term financial strategy to chance, now is the time to pick up the reins and retake control. Consider talking with a financial professional about your goals and ambitions for retirement. Don’t be afraid to ask for clarification if the conversation turns to something unfamiliar. No one was born knowing the ins and outs of compound interest, but it’s essential to understand and make informed decisions.
[2] TransAmericaCenter.org, November 7, 2023
[3] Distributions from 401(k), 403(b), and most other employer-sponsored retirement plans are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty. Generally, once you reach age 73, you must begin taking the required minimum distributions.