5 Retirement Planning Tips for Women

6:26 pm Retirement Planning

woman with thumbs up e1343422394280 5 Retirement Planning Tips for WomenAs we all know, women live longer and earn less than men, so it follows that they need to employ good retirement planning strategies in order to protect their finances.  Here are five retirement planning tips for women:

Save more.  Most women will likely depend on three key sources of retirement income:  Social Security, a pension or 401(k) and personal savings.  Since women are more likely to take time out from the workforce to care for family, their Social Security and retirement accounts are likely to be less, making it more important to increase personal savings.

Start early.  Experts recommend that women start contributing 10 percent of their salaries to a retirement plan starting in their 20s.

Keep skills sharp.  Chances are you will have to manage your own money at different times during your life, so don’t turn everything over to your spouse.  Studies show that women who let their husbands take charge of all the money matters often faced financial struggles later in life.  Keep your financial skills sharp for when you need them.

Spousal IRA.  If you are a nonworking spouse, consider a spousal IRA, which allows a working spouse to contribute up to $5,500 per year for a nonworking spouse.

Overestimate your needs.  Both men and women are living longer these days, so it will pay for you to overestimate what you will need in retirement.

For help with all your retirement planning needs, contact our Costa Mesa law firm.

Leave a Comment

Your comment

You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

Please note: Comment moderation is enabled and may delay your comment. There is no need to resubmit your comment.