When women
manage the money
– By Brian Weatherdon, MA, CFP, CLU, CPCA
Women’s influence over
money-decisions is rising in today’s
boomer and retired households.
And isn’t this a good thing!
Most women, if they haven’t already managed the money,
will eventually do so due to widowhood, divorce, or a spouse’s
illness. Without preparation and experience ahead of time,
how would you manage if the whole load suddenly lands on
your shoulders?
to speak with her now, she will naturally want an advisor
who can listen and discuss how to secure the way forward.
Stories mirror personal values – Is this you?
But the old stereotypes were also unfair to men. If they took Ava recalls how it dawned on her: They didn’t have a plan.
the lead, they alone were responsible for mis-spending or poor Would they have a future? In first meeting, they described a
investment. A brilliant investment could suddenly vaporize. vital need to secure their retirement and senior years. They
Death or illness could leave a jumble of papers that no spouse began by saying, “Make money, don’t lose it!” They shared
could sort on their own, especially with other stresses in life. their fears of losing money, losing the lifestyle they wanted,
the shame of poverty if they would ever outlive their money.
They also needed financial confidence for comfort and personal
care in later years. Not that they were poor, but savings
Perceptions of Gender and Money
There is an increasing tendency for women and men to would disappear if invested poorly and spent unwisely. Ava
discuss their financial decisions together. Women’s habits have described the positive result of having a certified plan: “We
also proven helpful in comparison to men’s. When women can be confident about our savings now and enjoy life.”
Barb’s professional career left little time to think about
spend, it’s often for family needs or gifts, and “preserving
or beautifying the nest.” Men by comparison make larger money. Since her husband taught economics, she felt little
purchases for toys and entertainment that may have temporary reason to venture into his native territory. But in reviewing
pension decisions, they began to discuss questions and
value.
Women show a greater leaning toward preserving wealth, concerns, how to sustain income, and the value of professional
while men may put their sights on high returns. Men still advice. That’s when a friend introduced us and we focused
want to hit the ball out of the park; women by comparison on their wider interests in life, future estate, and financial
want to avoid losses. On the down-side, women may run decisions. We’ve drawn on the experience of both spouses.
out of money due to deposits paying ultra-low interest rates. Not just about investing, but especially the lifestyle they can
(Hint, there can be advantages to bringing men’s and women’s enjoy through early, middle, later retirement years. We’ve cut
risks while supporting long term income. Our process has
skills together!)
blended their experience with Barb’s passion to understand the
Women welcome a more comprehensive view of life things that affect their future