Today we’ll continue taking a look at the gender gap in retirement strategy. Women tend to need more money than men in retirement because on average they live longer, have more healthcare expenses, and often make less money in their working lives than men do….
Today we’ll continue taking a look at the gender gap in retirement strategy. Women tend to need more money than men in retirement because on average they live longer, have more healthcare expenses, and often make less money in their working lives than men do.
In addition to financial options—such as saving more, delaying retirement, and taking advantage of company matches in 401(k) funds—there are several non-financial steps that women can take to plan for their retirement.
Reframing retirement living
“We are bombarded with images of the happy retirement—the vacations, the palm trees, the golf courses—but we need to rethink our retirement and not buy into that,” says Jane Nowak, an Atlanta-based certified financial planner specializing in women’s retirement. “Retirement doesn’t have to be what someone tells us it looks like.”
Living together with other women—whether siblings, single women, or women who have lost their spouses—brings big benefits in shared housing expenses and increased companionship, says Jan Cullinane, author of “The New Retirement: The Ultimate Guide to the Rest of Your Life” and the upcoming “The Single Woman’s Guide to Retirement” (John Wiley & Sons, 2012).
Cullinane recommends that women look at creative housing arrangements to help lower costs. For instance, in co-housing communities, residents have their own attached or single-family homes, but they can take advantage of a communal dining room, recreational facilities, and other resources.
Women also can comfortably live with a friend or sibling in an apartment with two master bedrooms and share cooking and housing expenses.
“Where you live certainly affects how you live,” Cullinane says. Living among an appropriate peer group can help encourage you to live frugally and not outspend your means. If you are living in a community where everyone is pinching pennies and having potluck dinner parties, then you might feel at ease doing the same.
Another trend that Cullinane notices is Americans living abroad, where living costs and healthcare costs often are lower. American communities are springing up in Mexico and Panama to attract retirees, she says.
Improve your health
Retirees are often faced with huge healthcare expenses in their later years. About 75 percent of healthcare spending in the United Sates is due to chronic disease such as heart disease, stroke, cancer, and diabetes. These lifestyle-related diseases are largely under our control. To help combat them, get in good health now, Cullinane says, by exercising more and eating better.
Additionally, take the time to fit your house with universal design concepts, like wider doorways, rocker light switches, a first-floor master bedroom and a curb-less shower, to make rooms easily accessible. “Universal design allows you to stay where you are. You’re less likely to move to an assisted living facility if you can stay in your home longer,” Cullinane says.
People are working later in life because they need continued income, health benefits, and mental and social stimulation. “80 is the new 60,” Cullinane says. While seniors might not be able to land the traditional full-time jobs that they’ve had in the past, they might find alternative jobs with companies like Comfort Keepers, where they can act as aides to the elderly. Or, they might find a job where they can work part-time yet still receive health benefits, such as by working as an aide in a school system.
Making smart decisions now can make the road to retirement smoother. Being aware of financial and non-financial options to bridge the retirement gender gap can make your money last as long as you do.
http://blog.equifax.com/retirement/retirement-strategy-beyond-the-numbers/
Is There a Divorce in Your Future? Jane Nowak, CFP® and Certified Divorce Financial Analyst™ Offers Divorce Financial Planning Services for Couples in Atlanta, GA
Divorce financial planning expertise for divorcing couples and their attorneys is now available through Kring Financial Management in Atlanta, GA. 'Working with a Divorce Financial Analyst can help you avoid financial pitfalls and long-term regrets of a legal divorce settlement.'
Atlanta, GA (PRWEB) February 08, 2012
Jane Nowak, CFP® and Certified Divorce Financial Analyst™ at Kring Financial Management has added a financial planning service specifically dedicated to assisting divorcing couples with the ramifications of a legal settlement. She holds a certification from the Institute for Divorce Financial Analysts™ (IDFA), a national organization based in Southfield, Michigan..
A CDFA™ works with clients and with couples, helping them come to terms with the financial reality and implications of their individual divorce situation. By developing comprehensive reports and graphs that show the short-term and long-term financial effects of divorce, she can save clients and attorneys valuable time, money, distress and last minute surprises -especially if the process is conducted early in the legal proceedings.
Over the last ten years, the divorce rate for first marriages in the U.S. has held fairly steady at around 50%. In the State of Georgia, where Ms. Nowak practices, the divorce rate is at 3.2%.
“Not knowing the potential long-term financial effects of a divorce settlement can put your financial future in serious jeopardy," says Ms. Nowak. “Many expect a divorce settlement that will allow them to continue their accustomed life style. Divorcing spouses need to know that this is not always possible. -I’m involved in the process to ensure an equitable economic outcome and to prevent long-term regret for financial decisions made without sufficient foresight during the divorce process.”"Very often the spouse who opts to keep the marital home after divorce is left at a distinct financial disadvantage." Ms. Nowak will focus her divorce financial planning practice on providing a dollars and sense approach to the 'divorce financials' of her clients.
Jane Nowak holds the Series 66 and Series 7 brokerage licenses and is also a practicing CERTIFIED FINANCIAL PLANNER™. In addition to her divorce financial analyst practice, she specializing in women’s retirement planning at Kring Financial Management located in Smyrna, GA. Ms. Nowak is a member of the Institute of for Divorce Financial Analysts™ and the Financial Planning Association of Georgia (FPA). Active in Social Media on LinkedIn, Facebook, Wordpress and on Twitter as @MoneyGal2020, she has been quoted in or has had financial planning articles published online at: US News & World Report, Credit Cards.com, Womenetics.com, FPA , Fox Business News, Yahoo Finance, Smart Money Chicks™ and the Equifax Retirement blog.
Kring Financial Management a division of Wealth and Pension Services Group, Inc. is a registered investment advisor located in Smyrna, GA. Doing business since 1997, Kring Financial Management is a group of independent professional advisors who believe in placing our client’s interests first above all others. We offer fee-based and fee only financial planning, wealth management, investment advice and pension expertise for individuals, corporations and retirement plans. -Securities offered by Triad Advisors, Inc. member FINRA/SIPC.-
Founded in 1993, the Institute for Divorce Financial Analysts (IDFA™) currently has 2000 CDFA™s across the United states and Canada. The CDFA™ requires certificants to keep their skills and knowledge current by requiring 20 hours of ongoing education credits every two years.
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Jane Nowak CFP CDFAClick here to read the full article on The ABC News Website.
When investors are getting beat up by the markets, it's not without some envy that we look at the strong performance of the investment portfolios of Ivy League universities such as Harvard.
From 2001 through 2010 — a period known as the lost decade — the average annual return of the S&P 500, by some measures,was only about 1.7 percent. But while the S&P 500 languished, the Harvard University endowment achieved an average annual return of about 7 percent during the same period.
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William Kring of Kring Financial Management has successfully completed Paladin’s Background Check process and received a FADD™ (Financial Advisor Due Diligence) certification for the documentation that is published on the Paladin Registry website.
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