With the latest report from Scottish Widows on Women & Retirement stating that there is still a significant gap when it comes to pensions and women, it has never been more important to think about your future lifestyle and retirement plans. As an independent financial advisor committed to supporting women in the UK on their journey towards a secure retirement, I know how essential it is to address the specific challenges and opportunities that arise in pension and retirement planning. Let’s look at some of the key issues that surround the topic of women and retirement, and look at what you can do to navigate the topic of retirement and pension planning in 2024.
Longevity matters – We are living longer
Recognising the longer life expectancy of women is key. With women now living to an average of 83, it is important that you think about your lifestyle financial plan that takes into account that you will likely be around for a long time after you finish work. When you work with an independent financial advisor team like Evolution Financial Planning, we work together to create a retirement plan that considers this extended time frame, ensuring financial stability throughout your entire retirement period.
Closing the Gender Pay Gap – Get A Strategy
Negotiating salaries and advocating for equal pay are crucial steps in securing a comfortable retirement. In the latest Scottish Widows report, statistics show there is still a 39% gap in retirement pay between men and women – which means it is important for you to be thinking about the strategies to maximise income potential, bridging any pay disparities and optimising your pension contributions.
Managing Career Interruptions
As modern women we know that life events and caregiving responsibilities may lead to career interruptions. That is where working with a female financial advisor can really benefit – because we get it. Together, we can develop strategies to minimise the impact on pension contributions, considering all the options available and focused investment planning during active employment.
Pension Planning Tailored to You
Every woman’s life is different. From being single, with a partner, married, divorced or widowed, the situation is unique, and your pension plan should be as unique as you are. We can work together to create a tailored strategy, making the most of employer contributions, tax benefits, and a consistent contribution plan to ensure a robust pension for your retirement years.
Investment Aligned with Your Goals
Your strategy should reflect your personality and desired retirement plan. When you are reviewing your pensions and retirement plans you need to craft an investment strategy that is aligned with your risk tolerance, financial objectives, and time horizon. Ensure you work with someone that schedules in regular reviews to make any adjustments that support you with keeping your investments on track. Being agile is important for adapting to your changing circumstances and market conditions.
Building Financial Literacy Is An Important Topic
In 2024, knowledge is empowerment. Being equipped with the financial literacy needed to make informed decisions about your pension and retirement savings, covering investment options, tax considerations, and the potential impact of inflation is not only empowering, it makes financial sense! We were shocked to hear that 60% of women didn’t discuss pensions as part of their divorce proceedings (source: Scottish Widows) – and we think a contributing factor to this is a lack of confidence when thinking about and discussing money. We can support you with this – in fact it is one of our superpowers. As an all female team, we have made it our mission to empower you with the advice, strategy and products that mean you not only have confidence, but you have a robust plan in place that helps you to realise your goals.
Emergency Funds and Contingency Plans
Establishing an emergency fund is a crucial step if you want to ensure security for yourself in the future. If this is something you haven’t considered before then together we can look at the options to create a financial safety net, which can prevent the need to dip into retirement savings or affect contributions during unexpected life challenges. We can also help develop contingency plans to address unforeseen circumstances proactively.
Optimising Your State Pension
Understanding your entitlements to the State Pension and additional benefits is vital. We can keep you informed about changes in pension regulations and help optimise your contributions to maximise benefits.
Regular Professional Advice
Your financial journey is dynamic. We want to support you on that journey – with regular check-ins and professional advice during significant life transitions ensure that your retirement plans remain aligned with your aspirations. Too many women leave retirement planning to chance, or wait too late to take proactive action. That doesn’t need to be you in 2024 – we can help you.
Navigating Retirement As A Woman in 2024: What To Think About When It Comes To Strategic Pension Planning
Navigating your personal financial world as a woman in 2024 is something that should be a priority if you want to create a future that is sustainable and maintains your style of living. We are here to empower you on your path to a secure retirement. Let’s work together to overcome challenges, seize opportunities, and create a pension and retirement plan that reflects your unique financial goals and dreams. Book a call today and let’s get started..