Women Need to Save More than Men

Saving

In today’s world, we seem to be entering a new financial revolution for women. Talk of the pay gap has increased, which has led to women gaining more respect and equal pay in the workplace.

Despite this new-found attention, women still are iffy about money. They lack confidence in saving for their future, don’t like to talk about it, and would almost rather talk about anything else.

According to a recent survey, only 52% of women feel their confident enough in managing their investments. That’s just over half of all women!

There’s still a strong feeling that men are providers and they take care of the family, but there’s a fairly large loop hole that many couples don’t think about when planning for retirement: women live longer than men.

This is why it’s super important to help women understand that financial matters aren’t just about empowerment, but having the ability to survive if something bad happens.

Lorna Sabbia from Merrill Lynch agrees.

“As women are at a tipping point to achieve greater financial empowerment and independence, it is even more essential that we support women in helping them pursue financial security for life. This includes encouraging women to invest more of their assets, save earlier for retirement, and pursue financial solutions that closely align to their personal values and life paths,” she said.

There’s a real investment gap between men and women and it’s troubling. Investing often seems like a ‘man’s game’ and can seem too analytical. They do well with other aspects, like budgeting, but investing isn’t a strong suit for most women.

On average, women live 5 years longer than men. 84% of all people over 100 are women. While this is a continuing trend, a little less than half of all women worry about running out of money. This is not a fear that will go away anytime soon, especially as technological developments allow us to live longer.

This is a major problem that needs to be addressed. Over half of all women say they regret not investing more while they were able. 60% say they didn’t invest because they just didn’t have the knowledge necessary. 34% cited a lack of confidence.

To combat this, women should consider hiring a financial planner and taking the time to learn how to properly invest.

It also shouldn’t be a subject women shy away from with their husbands. They should be in on the front lines and discussing ALL aspects of future saving, including investments, so they understand how it works and they know what their options are when the time comes.

Last modified: June 4, 2018