When she’s not helping clients understand and simplify their investment options, she loves cheering on the University of Iowa and spending time with her family. In the past, women were programmed to believe that their role in the household is to manage the household rather than the finances.

Time crunch aside, all too often the financial deck is stacked against women of all ages. In 2020, women earned 82.3% of what men earned, according to the U.S. Bureau of Labor Statistics.1 “Very few women push back on salary offers compared to men,” Sabbia says. “That has huge implications when it comes to your ability to save.” Boning up on negotiating skills can help turn the tables. Providing this peace of mind is how financial planning helps you worry less and live more. Knowing you’re on track to reach your goals and that you have a plan for things that could go wrong can help you feel more confident not just about the future but also about spending your money on what’s important today.

Read more about financial literacy for women here.

If you have a situation that deals with taxes and accounting in particular, you may want an advisor who is also a certified public accountant (CPA). A CPA is a designation provided to licensed accounting professionals. The CPA license is provided by the Board of Accountancy for each state.

The more consistent you are and the sooner you begin, the more you’ll save in the long run. Laura Adams, a financial advisor for FreeAdvice.com, explains that the secret to her success has been putting her savings on autopilot. A 2016 study by Glassdoor showed that 68 percent of women accept the salary they’re offered without negotiating, compared with 52 percent of men. The study also showed that the pay gap was greater for workers over the age of 55, supporting the idea that as men and women age in the workforce, men are more likely to negotiate their salary than women are. Whether you’re married, single or divorced, the best way to secure your financial future is to make sure you’re involved in the financial-planning process at each stage. While it’s not always the case, women often prioritize living expenses, family, debt and real estate over their retirement savings.

This exercise should continue into her teenage years with each paycheck earned. As any parent knows, delayed gratification is not a strong suit for young children. Sit down with your little girl and explain to her the difference between “wants” and “needs.” Once she understands those concepts, help her set a goal toward something she wants in the future, like a toy or new jeans. There’s no point in making money if you don’t understand how to manage it. Our advisors will get to know you and recommend the best financial solutions to help you achieve your goals in life.

However, many retired women failed to save for their golden years. And that means about 65% of the elderly retired population ends up in poverty. So, women who neglect their nest eggs are more likely to suffer financial hardships even if they have great jobs. Get this delivered to your inbox, and more info about our products and services. “Whether they are married or single, women need to assess their situation and plan for this accordingly,” she said. Although buying a home often feels like an emotional decision, consider it as you would any investment, she said. The earlier you start, the better off you’ll be, since that money will grow exponentially over time, she said.

As you can see, a “set it and forget it” aka dollar cost averaging strategy outperforms investing in one lump sum. Last week I talked about the benefits of contributing to your RRSP on a regular basis vs doing so in one lump sum. In doing so, you’re essentially taking advantage of a concept called “dollar cost averaging”, whereby you contribute a set amount on a regular basis to your portfolio. Client appreciation events are critical to a successful advisor’s thriving financial advisory practice.

A CFP is a formal recognition of expertise in the areas of financial planning, taxes, insurance, estate planning, and retirement, such as with 401(k)s. The good news is that there are a number of highly qualified women financial advisors and planners. The Bureau of Labor Statistics (BLS) reported in 2019 that 32.1% of all personal financial advisors were women.

And, the consultancy adds, most financial advisors are also male. Her daughter Val, 65, is a former 3M employee and mom to one child, while Amanda, 39, Val’s daughter, is a former Target employee and mother to five children. In this blog, we’ll dive deep into some lessons they’ve learned and the role that financial planning plays in supporting their goals.

Findings from Fidelity Investments’ 2021 Women and Investing Study revealed that 77% of women believe if they had a financial adviser to help them invest, they’d be more confident about their financial picture. The personal finance industry has improved its female-focused inclusion in recent years, but there is still work to be done. Warren saw that she needed to pay closer attention to her finances when, after a number of years of investing, she realized, “I wasn’t really making money. I would have done as well if I had just put cash under my mattress.” It turns out Warren had been paying almost as much in fees as she’d been making on her investments. Insurance and annuity products are offered through Merrill Lynch Life Agency Inc., a licensed insurance agency and wholly owned subsidiary of Bank of America Corporation.