There’s no denying that a smart saving and investment strategy is key for anyone seeking to achieve financial stability. But did you know that this is doubly important for women? In most cases, women will need to save substantially more than men to enjoy the same quality of life after retiring. Learn more about why women need to out-save men for a more comfortable retirement and how strategic financial planning can help from HighPoint Advisors, LLC.
Women Enjoy A Longer Life Expectancy
The data is clear: women tend to live longer than men. In fact, 2016 data indicated that U.S. women could expect to live around 81.1 years – that’s five years longer than the estimated 76.1 years for men. That’s not bad news, by any means, but it does mean that the typical woman will be spending significantly more than most men after retirement to pay for everything from day-to-day living expenses to vehicles and recreation
Women Make Less Than Men
Data is equally clear when it comes to wage inequities. The numbers already indicate that women tend to earn less than men on average, but the situation becomes more complex when issues like family care, parenting and other work done away from the workplace are brought into the mix. Overall, women tend to spend more time away from the professional world, which can increase the cumulative wage gap over time and ultimately leave the average woman even farther behind her typical male counterpart in terms of savings.
Women Often Face Higher Healthcare Costs Over Time
Lower wages alone can throw a wrench in even the best savings plan, but U.S. women must often overcome more challenging healthcare hurdles than many men. Certain studies suggest that women pay thousands more for healthcare over the course of retirement, while even a single childbirth brings with it a serious financial toll – and that’s on top of the time spent away from the workplace.
What’s The Solution?
Women may face an array of obstacles when it comes to long-term savings, but that doesn’t mean it’s impossible to save enough to make the most of your retirement. To the contrary, strategic investment and a thorough financial plan can help ensure you’re putting away plenty of money without compromising your everyday lifestyle. And while women may lag behind in terms of investment and savings, it’s never too late to work with a financial advisor and create a smart strategy that helps to ensure you’re prepared to maintain your current lifestyle after leaving the workplace.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.