According to the AgeWave Study, 61% of Women Said They Would Rather Talk About Death Than Money. Well, that is unfortunate. Let's talk about what that could cost you.
Are you one of those women who refuse to talk about money unless you are buying something new and discussing with your friends your latest purchase? Or do you kind of hide in the proverbial hole in the ground when it comes to planning for your future? If this sounds like you...read on.
“If you do not know where you currently are, there is no way to control where you are going. In this age of women's empowerment we have a duty to have our finger on the pulse in our business, in our finances, in love, in life.” -Leslie Tracey
How can you create the future that you want if you don't know what that future is and where you stand in regards to that point which may never get here? When you are planning for your business, have you thought about the revenue benchmarks that you must hit in order to achieve financial freedom for you and your family? Have you thought about what is needed in order to live a comfortable lifestyle once you have passed or sold the business? What does a future look like where you are possibly traveling the world and mentoring other young women into the profession? For all of this, you need to truly understand money and understand it quickly.
Situation: 71% of Women Hold Their Assets In Cash*
Woops. I have met small business owners who pocket most of their profits (literally) and since they have gotten it as cash they keep it as cash and don't report enough income to the IRS. Why is this a problem you may be saying?
Flipside: You will not be able to qualify for certain lending programs if you do not show healthy balances in your business bank accounts. In addition, it could be very hard for you to get approved for certain insurance products that will keep your income flowing if you were disabled or to protect your family and business interests if you were to pass away (since it is partially income based). Further, if you were trying to sell your business and get it valuated, surely, there would be discrepancies and your business would not look very viable.
Situation: 80% of Women Are More Likely To Be Impoverished In Retirement*
The reason for this is myriad, however it can be surmised that many women during their childrearing years are focusing on making sure that their families are okay and may not be working full time or owning businesses during those formative years. When a woman is not working even if for a few years she is losing time contributing to her future nest egg and she is also not accumulating income which would go toward her social security payment.
What You Can Do: If you know someone who is about to go into this situation and they can afford it, implore them to speak with their financial advisor who can give them some tips on what to do to mitigate some of this risk while they are taking care of their children in their formative years. If this was you in the past and you lost some years of employment due to childbirth and/or taking care of a parent before coming a business owner, speak with your financial advisor and they can also let you know some ways to shore up your reserves for the future.
Situation: 65% of Women vs. 52% of Men Say Money Is Their #1 Source of Stress*
With some of the aforementioned circumstances, it is no wonder that women are stressed about money. In many cases we are balancing businesses that come with employees, clients and demands, sometimes a business partner, our significant other, child and continuing education. Does this sound like you?
If you would like some help navigating these stressors, you are not alone, reach out to our team and we would be more than happy to do a complimentary risk analysis assessment with you and point you in the direction you may want to go.