How to Overcome the 3 Retirement Hurdles that Women Face?

by Aman Khanna Finance

Whether you are a working woman or a homemaker, saving for retirement is not just advisable, but also essential. Women are known to have the least working years due to maternity leaves and other holidays taken to manage their second job—caring for their families. So, as a woman, it is imperative that you go the extra mile to plan your retirement as soon as you start working.

Even if you are a homemaker, it is important that you take measures to secure your future. For instance, an FD for women or any other safe investment option for women can help you finance your golden years adequately.

To secure your future as the independent woman you are, look at the 3 retirement hurdles you may face and how you can overcome them.

Lack of savings

As a homemaker you may receive monetary gifts from relatives, rent from a second property that is on lease or income from a home-run business. It is important that you balance spending this income with saving it, even if you rely on your partner for your everyday expenses. In fact, this is one of the reasons why women typically have extremely low savings.

On the other hand, if you are a part of a workforce, make it a habit to save a part of your income regularly. You can do so by setting up an automatic bank transfer from your salary account to a savings account each month.

Lack of investments

While saving helps you ensure that you have a cash reserve of sorts, it is important that you invest these funds to ensure that your money grows significantly and is capable of combating inflation. While investments like mutual funds and other risky investments can give you high returns, you must choose to counter this by investing a part of your savings in more secure instruments such as a fixed deposit, which carries little to no risk.

Choose to invest in a fixed deposit with an NBFC for higher returns. For instance, you can invest as little as Rs. 25,000 in a Fixed Deposit for Women from Bajaj Finance, and earn up to 8.75% FD interest rate on the same. You can also benefit from an additional increase in the interest rate upon renewal, and manage your investment online via a customer portal. You can forecast your returns with an Fixed Deposit Calculator and plan your investments with just a few clicks. Additionally, you can also how break your FD before maturity if need be.

Lack of financial planning

One of the major retirement hurdles that women face is the lack of financial planning. Unlike men who tend to be more aware from the get-go, women usually have to make a conscious effort when it comes to understanding how to build a financial strategy and follow the same. This is because in general, society doesn’t have same expectations from men and women.

To ensure that you don’t fall victim to this patriarchal thought process, educate yourself on matters pertaining to investments and estate planning. If you want expert inputs, it pays to hire a financial advisor to manage your wealth, and grow it in a manner that will help you meet your objectives.

Use these solutions to conquer any retirement hurdle that life throws your way. Furthermore, if you are a working professional, update yourself about industry standards regards to pay, and be forthcoming when it comes to asserting your financial rights. Being proactive from the get go will help you ensure that you are able to plan for your retirement easily and independently.

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About Aman Khanna Innovator   Finance

18 connections, 0 recommendations, 61 honor points.
Joined APSense since, March 16th, 2017, From Delhi, India.

Created on Aug 10th 2018 01:57. Viewed 348 times.


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