One of the best ways to achieve financial well-being is to create a financial plan or road map. For a variety of reasons, women may earn less over their working careers and tend to live longer but may not have a financial plan in place for themselves. Birchwood has been a majority women-owned firm since 2000. We listen to your needs, value your input and concerns and create a plan that works with your life.
A good financial foundation is one of the cornerstones of well-being. Just like good health, financial well-being takes attention and commitment. It starts with understanding your current situation and creating a financial plan to achieve your future goals. Along the way, consulting a financial professional and developing good habits could help you support the future you desire and enhance your overall well-being for the long term.
One way to take the fear out of something is to shine a light on it. We find that clients who have had a nagging suspicion that they haven’t been saving enough for retirement actually feel relief when we create a financial plan with them and affirm that they were correct. Once a person knows what they are facing, it’s much easier to offer solutions and methods to mitigate a situation while there is still time to make changes.
Alternatively, when clients are presented with the findings that their retirement funding is solid, it opens up other avenues for them. They may be able to fund some bucket-list items, focus more on philanthropy or create trusts and a solid foundation for future generations.
In our years as financial advisors, we've noticed that in most households the finances are run by one person and the other spouse or partner isn’t as familiar with the financial details. This can work well in that we each gravitate to the chores we either like or are more comfortable with. When the person running the household finances dies first, this can create additional stress during an already difficult time.
The first step to achieving financial well-being is to know how much income you have and determine how much of it you can spend and how much you can invest in your future. Each spending category needs to be considered in an overall budget picture. If you spend too much on housing, you will have less to spend on auto expenses or groceries. You can develop a budget with a simple spreadsheet or use a number of apps available such as Every Dollar or YNAB. Review your spending monthly and at a specific time – such as the first Sunday of each month.
After the loss of a spouse, many areas of life seem foreign and confusing. Unfortunately, finances seem to be at the top of that list. Our Finances for One guide may help diminish your money fears and give you the confidence you need to protect your financial future.
In this guide, you will find:
