Women get frank about finance

More than half of Australian women feel in control of their finances, but many are concerned about their savings and are missing out on valuable opportunities to boost their superannuation, according to new research released by MLC.

The all-female study revealed just 57% of women across the country feel in control of their financial situation and have confidence they will be able to retire comfortably.

Of the 43% who do not feel in control, 61% said low savings is the main factor. This is in addition to the 32% of respondents who said they have less than a month’s worth of savings to live off if they needed to.

The research also revealed that nearly two-thirds of Australian women are missing out on valuable opportunities to grow their super, a figure that MLC is hoping to increase, and one that resonates with Sydney businesswoman and mother of two, Gail Symons.

Time to make women’s financial wellbeing a priority

General Manager of MLC Advice Jasia Fabig says Ms Symons’ experience is not rare, and that the research findings highlight that, while many women feel comfortable financially, more needs to be done to support them to make their future financial interests a priority.

“What we often see is that women put the interests of others before their own, and at key moments in life – divorce, death, illness, or job loss – they are severely impacted.

“Only 34% of the women MLC surveyed are putting extra money into their super, and we’d like to see this number grow.

“Women and their money matter, and we want them to be able to weather financial storms,” Ms Fabig said.

Other key findings:

  • Despite 57% of women feeling in control of their financial situation overall, only 47% of single women report feeling in control of their money
  • 81% of women believe they will own their own home in retirement and 77% think they’ll have less than 50k left on their mortgage when they retire
  • 66% of women are not participating in voluntary super contributions
  • Among women who do not feel confident about saving for retirement, 74% believe that high cost of living in Australia is the reason; 48% nominated low super balance s as a factor.

Top tips for women

  1. Don’t delay uncomfortable conversations: Divorce, illness, job loss and death all impact women’s wealth, so speak with your partner, family or a financial adviser to ensure you can plan for adverse events and make sound decisions if they occur.
  2. Get to know your super: How much do you have? How much will you need? How can you benefit from voluntary contributions? All this will have a huge impact when you retire.
  3. Be independent and become an expert on your money: Know your money inside out and – debt, savings, investments, insurance, and super – and how all of it works for you.
  4. Prioritise your financial goals as well as your life and career goals: The decisions you make in work and your personal life will all impact your finances.

Your salary matters: Your paycheque and super are vital to your financial security. Don’t undersell yourself, negotiate your pay, and be aware of your worth at work.

WANT MORE INFORMATION?

Regardless of your life stage, speak to us about laying foundations to enjoy a rewarding future. Retirement really does come around far sooner than any of us expect.

For more information, please contact Fionne McKillop at McKillop Financial Planning on (02) 9542 2904 or email fionne@mckillopfp.com.au

Disclaimer

Content contained within this site and any related sites including, but not limited to, our Facebook page, Twitter profile and any LinkedIn profiles of our financial planners is general information only and is not advice, financial planning, legal or otherwise.

This article was prepared by Integrated Planning Systems Pty Limited ABN 21 051 429 184 trading as McKillop Financial Planning, an Authorised Representative of GWM Adviser Services Limited ABN 96 002 071 749 trading as MLC Financial Planning, Australian Financial Services Licensee, 105 – 153 Miller St, North Sydney NSW 2060, a member of the National Australia Bank Group of companies. The information is current as at 12 May 2018.

The article does not take into account your personal objectives, financial situation or needs. Accordingly, you should consider how appropriate the information is to you with regard to your personal circumstances. You may wish to obtain an adviser’s assistance, tax and/or legal advice to make this assessment. Before buying any financial product, you should read the Product Disclosure Statement (PDS) for that product and consider the contents of the PDS before making a decision about whether to acquire the product.Opinions constitute our judgment at the time of issue and are subject to change. Neither, the Licensee or any of the National Australia Group of companies, nor their employees or directors give any warranty of accuracy, nor accept any responsibility of errors or omissions for this document.

Source : MLC 5 April 2018 

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