Disclosure: This is a sponsored post for SheSpeaks/Prudential. Any opinions expressed are completely my own and have not been influenced in any way.
I will admit it, when I first got a job and started earning money, I never thought about my financial future. I thought about the here and now. I paid my bills and bought the things I needed, but I never saved or set aside a penny. I spent the money as fast as I could make it. And then I got a credit card. And another. And another. Before I knew it, I was swimming in debt. Then, I got pregnant. I knew I needed to make some changes, but I had no idea where to start. I wish I had had this information from Prudential all those years ago. Slowly, I started paying off debts and catching up. By the time I married my husband 5 years later, I had cut my debt in half.
Because of my rotten credit, and his lack of credit, we had to rent homes to live in after we were married. Last year, we started trying to purchase a home, and big changes had to be made. We were able to sign on our new home in August of last year – just days before our 14th wedding anniversary. How exciting!
But, now that we’ve got this house, I’m even more worried about my financial future! What if something were to happen to my husband? Would we be able to keep our home? Would we be forced to move? How could I support myself and 8 children?
It’s time for me to start taking control of my finances by planning ahead!
Did you know there are 4 key challenges women face when diving into their finances? I want to share those with you quickly:
- Wage and Income Gap:
- The average woman working full-time earns 79% of the income earned by her male counterpart.1 This is because of many issues – lower likelihood to negotiate salaries, time out of the workforce, differences in pay.
- The wage gap not only impacts women’s 401K balances over their lifetime but it also impacts their social security payments. Predictably women’s social security benefits are 27% lower than that of their male counterparts.2
- Investment Gap: Women don’t invest to the same degree as men. 3 Women’s discomfort with investing comes at a high cost for them: They are apt to delay investing, invest more in lower risk, lower return investments and are more likely to run out of money in retirement.
- Women Are Living Longer and Living Alone: Women outlive men by an average of 5-6 years. 4 Are they prepared financially for these years?
- Time Gap: On average, women in the U.S. spend 28 hours per week on household chores – 65 percent more than the average for men.5 That is uncompensated work and it does not figure into women’s financial planning. Prudential has created a tool called the “Value of all you do” that lets you very quickly quantify the value of all the household chores you do on a daily basis. What you would need to pay someone to do those for you?
I also want you to take a moment and watch this video –
We need to step up and take control of our finances, but we don’t have to do it alone! Prudential has financial advisers to help you learn what you need to know, arm you with the tools you need, and help you act on your financial future. Prudential is here to help!
Check out the Prudential website and get yourself on the path to financial health and stability.
Tell me: what are the areas you worry about most when it comes to your financial future? What can you do to change those worries?
- Source: U.S. Census Bureau, Historical Income Tables Table P-40: Women’s Earnings as a Percentage of Men’s Earnings by Race and Hispanic Origin, 2016
- Source: Social Security Administration, Fast Facts and Figures About Social Security, 2016
- Source: http://fortune.com/2016/05/11/sallie-krawcheck-ellevest-launch;
- Source: Prudential Retirement analysis; National Center for Health Statistics, Health, United States, 2015: With Special Feature on Racial and Ethnic Health Disparities. Hyattsville, MD. 2016
- Source: Organisation for Economic Cooperation and Development, October 2016, http://stats.oecd.org/index.aspx?queryid=54757