Five Financial Tips for Women
- Make it a Priority to Understand What You Already Have – For working woman, make sure you fully understand your employee benefits and your company’s retirement plan. Make it a point to see what your short and long term disability and life insurance can offer you and then fill in the gaps with individual policies. You may be surprised what your benefits do and do not cover. It’s better to know now then at the time you may need to use them.
- Fund Your Retirement Plan: Most employers offer employees a retirement plan and you must take advantage of it. Make sure though that you consult with a qualified financial advisor when choosing your fund choices. Leave the selection up to the professionals and review it once a year to make sure your maximizing your returns. Beyond your company’s retirement plan, look into getting your own IRA or Roth IRA, which allows you grow wealth tax-free through the course of your lifetime – it’s worth looking in to.
- Recognizing the Challenges is Half the Battle: There’s no doubt about it – women face obstacles that men do not. Women still earn less than their male counterparts, live longer and are typically out of the workforce for 12 years, on average, taking care of children and now more than ever, aging parents. Recognize these challenges, set goals and build a plan to action to overcome your specific hurdles. Things such as making a career move or initiating salary negotiations, refinancing your mortgage, opening up an IRA or Roth IRA and adjusting your risk tolerance on your investments can all make a powerful impact on your financial picture.
- Don’t be Afraid to Fire a Bad Advisor: Let’s face it, there are thousands of financial advisors out there…some of which may suit you better than others. Choosing a financial advisor is like choosing a doctor. Choose a person who focuses on your needs and not there’s, someone who listens to your goals, keeps you on track and meets with you at least once a year to review your situation. If you’re not satisfied with the relationship you have, move on!
- It’s Never Too Late: Regardless of your age, there are ideas and options that can help your financial picture – we see it everyday. There is no better time to start investing than right now. Make it a priority to meet with an advisor in 2011. Ask people you trust to refer you to someone that listens and achieves results and get started as soon as possible.