How Men and Women Differ Regarding Retirement Planning and Financial Goals
Difference between men and women are shown in communication style, approach and even in retirement planning. For example, men believe that retirement planning gets easier when coming closer to retirement age, while women believe that the discussion gets harder at retirement age. American couples are likely to fall short when it comes to their long- term financial goals.
According to research, people who are entered into a retirement plan and communicate about it, are more confident than people who don’t have a plan about the financial goals and lifestyle in retirement. But it is also true that the percentage of companies offering pensions has dropped significantly over the 25 years.
An insurance and financial services firm had surveyed more than 1,400 Americans in 2009 about their investment decisions and came to conclusion that male and female both have different strategies for trying to maximize return in old age. Women seek an active role in their investment decisions while men want more aggressive investments.
Due to historical access to financial decisions, both male and female have different angles of confidence. From so many decades, women are emerging as the financial leader of the house but it will take time to emerge in investment sector, too. Women need more confidence in investment sector whereas men need more realistic attitude/approach.
83% people of financial survey have confidence that they and their spouses were in agreement about how to handle retirement budgets. Younger Americans also show more confidence about their retirement planning. Near the age of retirement, people get more aware about immediate need for cash and exactly how much they have saved till retirement. In additional benefit, they also get more concern about their children and their investment habits.
Couples need open and frequent communication to bridge their differing outlooks. So many couples stay silent or assume themselves that their spouse is on the same page without ever talking about the details. Therefore make discussion about the motivating factor behind decisions of each partner.
Both life and long- term care insurance are crucial components of family’s financial security after retirement, according to a financial adviser and the director of the financial planning department at accounting and financial services firm. According to survey by State Farm, 30% of American families do not carry any kind of life insurance.
Discuss long- term issues with spouse, family before crises become unavoidable.
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