Thursday, December 5, 2019

Women and retirement worries

According to an IG Wealth Management study, recently retired women are more worried than their male counterparts about stretching funds over their remaining years. This heightened concern may be related to the fact that women generally live longer than men. Another likely contributor is that women tend to earn less than men. In the end, women have less money to spread over more years.
Financial priorities are also different among retired women and men. The study found that it’s more important for women to leave behind money for family and charities, by a margin of 14 per cent. Of course, overspending in retirement can present a problem — but what about underliving? If fear of running out of money makes you ultra-conservative, you may pass on activities that help you fully enjoy your golden years.
For example, travel was high on the list of priorities for pre-retirees in the study. The vast majority of women (81 per cent) and men (89 per cent) intend to spend money during retirement on things they want, such as trips and hobbies. But nearly two-thirds of recent retirees find it hard to strike a balance between making their money last and enjoying retirement. Interestingly, this sentiment was expressed more often by survey respondents who don’t work with a financial advisor.
The key, it seems, to fully enjoying retirement is preparation. A Statistics Canada study using data from the 2014 Canadian Financial Capability Survey concluded that respondents who rely on advice from a financial advisor have increased levels of financial knowledge.
So, whether you are a man or a woman worried about having enough money to fund a long and enjoyable retirement, the best step forward is discussing your priorities and concerns with your professional advisor who will help you build a plan — so you can retire with confidence.

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