There are more women in the workplace than ever before, and many are in charge of their household financial management. With longer lifespan expectancies and lower average lifetime earnings than men, women often face a significant retirement funding gap.
Financial advisors are increasingly seeing the concept of women in control of household finances as the norm. The common factor for both young professional women and retirees is that both groups want to plan better and know they can, with access to a competent financial advisor.
A comfortably mixed portfolio consisting of liquid assets, annuities, mutual funds for growth and a life insurance policy including a long-term care plan, women are advised to set a goal of paying off their mortgage before retirement and contributing just enough to their 401(k) to capture their employer match. Excess funds should then be redirected to reduce the balance of their mortgage.
To gain a sense of security, women are advised to work with their financial planner to create a "life-plan." The plan shows them where their money comes in and how long it will last. A good adviser will discuss viable alternatives like working past retirement age, slightly delaying Social Security benefits, downsizing to a smaller home or considering a reverse mortgage.
Through effective coaching, financial planners are transforming how the financial services industry treats women. If you need financial advice, contact the expert financial consultants at West Financial Group. We will help you reach your financial goals.