{"id":4260,"date":"2020-06-02T06:00:33","date_gmt":"2020-06-02T13:00:33","guid":{"rendered":"http:\/\/springwaterwealth.com\/?p=4260"},"modified":"2020-08-09T22:35:25","modified_gmt":"2020-08-10T05:35:25","slug":"the-5-ways-a-cfp-can-be-crucial-to-financial-planning-for-women","status":"publish","type":"post","link":"https:\/\/springwaterwealth.com\/the-5-ways-a-cfp-can-be-crucial-to-financial-planning-for-women\/","title":{"rendered":"The 5 Ways a CFP Can be Crucial to Financial Planning for Women"},"content":{"rendered":"

During World War II women began to enter the workforce in large numbers.\u00a0 While many men were doing most of the actual fighting, women left their homes to replace men who left jobs and enlisted in the war.\u00a0 Ever since women have been a growing presence in the American workforce.\u00a0 So, the need for financial planning for women dates back to at least the 1940s.<\/span><\/p>\n

Today women control 51% of the personal wealth ($22 trillion) in the US, according to research by New York Life Investment Management.\u00a0 That number is expected to go up by 30% over the next 40 years, as wealth transfers between generations.\u00a0 Already 96% of women have primary or shared responsibility for family financial decisions.<\/span><\/p>\n

Unfortunately, women are at a disadvantage to men when it comes to money.\u00a0 They earn less than men. They are not as comfortable with money as men.\u00a0 They are less financially literate than men.\u00a0 They tend to invest less than men, and they invest more conservatively.\u00a0 Women also live longer than men, and, therefore, they need more money for retirement<\/strong><\/a> than men do.<\/span><\/p>\n

A CFP\u00ae Can Help<\/b><\/h2>\n

How can you empower yourself to lead a more financially-literate and secure life? By hiring a Certified Financial Planner\u2122 who practices comprehensive financial planning for women.\u00a0 We will discuss 5 ways a CFP\u00ae can be crucial to financial planning for women.<\/span><\/p>\n

What is a CFP\u00ae?<\/b><\/h2>\n

Before we start, let\u2019s first describe a Certified Financial Planner\u2122.\u00a0 A CFP\u00ae professional is a person who has met the <\/span>requirements<\/a><\/strong><\/span> of the CFP Board.<\/span><\/p>\n

Education<\/b>:\u00a0 A CFP\u00ae holds a bachelor\u2019s degree (or higher) from an accredited college or university and has completed financial planning coursework through a CFP Board registered program.<\/span><\/p>\n

Exam<\/b>: A CFP\u00ae must pass a rigorous 6-hour exam.<\/span><\/p>\n

Experience<\/b>: A CFP\u00ae must complete 6,000 hours of professional experience related to the financial planning process or 4,000 hours of apprenticeship experience that meets additional requirements.<\/span><\/p>\n

Ethics<\/b>:\u00a0 A CFP\u00ae must sign an ethics declaration and pass a background check.<\/span><\/p>\n

So, a Certified Financial Planner\u2122 is educated, credential, experienced, and acts as a fiduciary.\u00a0 A CFP\u00ae is uniquely qualified to provide financial planning for women.<\/span><\/p>\n

Avoid Mistakes<\/b><\/h2>\n

A CFP\u00ae can help you avoid the mistakes that are often made by women.\u00a0 Here are a few examples.\u00a0 When going through a divorce<\/span><\/strong><\/a>, a woman will often negotiate to keep the home that she shared with her spouse.\u00a0 The problem is that houses are expensive to own and maintain.\u00a0 A CFP\u00ae can help you determine if it is really financially wise to keep the house.\u00a0\u00a0<\/span><\/p>\n

Women often invest<\/strong><\/span><\/a> too conservatively.\u00a0 As a result, their investments do not grow as much as they could and as much as they may need to.\u00a0 A CFP\u00ae can help you determine your emotional tolerance for risk, your economic ability to take risk and your financial need to take risk to reach your goals.\u00a0 You should take no more risk than is necessary, but also no less.<\/span><\/p>\n

Women, like most Americans, often carry credit card debt.\u00a0 Credit card companies charge high interest on revolving balances.\u00a0 A CFP\u00ae can help you develop a budget, so that you only use a credit card to purchase things you can pay for today.<\/span><\/p>\n

Access Resources<\/b><\/h2>\n

Because Certified Financial Planners\u2122 have broad knowledge across many financial topics, they can be a great resource to you.\u00a0 A few examples:<\/span><\/p>\n

You will need a variety of insurance to protect yourself and your property.\u00a0 A CFP\u00ae can introduce you to insurance specialists in areas such as life insurance, disability insurance, long term care, and home and auto insurance.\u00a0 Just make sure your CFP\u00ae does not sell financial products.<\/span><\/p>\n

Everyone should have an estate plan.\u00a0 Most CFP\u00aes are not lawyers and cannot draft the legal documents you need.\u00a0 But a well-connected CFP\u00ae can introduce you to several qualified estate planning attorneys and help you select the person who is right for you.<\/span><\/p>\n

You may need to finance the purchase of a property.\u00a0 CFP\u00aes do not act as mortgage brokers.\u00a0 But they usually know several who are competent and honest and to whom they can refer you.<\/span><\/p>\n

Don\u2019t leave your future to chance. Contact our team at Springwater Wealth today to learn how\u00a0we can help you develop a financial plan for your peace of mind.<\/strong><\/a><\/span><\/h2>\n

 <\/p>\n

Invest Wisely<\/b><\/h2>\n

Many women live independently, because they never married, they divorced or they became widowed.\u00a0 Consequently, they are on their own as investors.\u00a0 If you are on your own, a CFP\u00ae can help you make wise investment decisions.<\/span><\/p>\n

The keys to successful investing are proper asset allocation, asset location, diversification, cost containment, and rebalancing.\u00a0 You may not be familiar with these terms and that\u2019s OK.\u00a0 A CFP\u00ae can explain them to you and help you earn better investment returns than you would on your own.<\/span><\/p>\n

Retire Securely<\/b><\/h2>\n

An important aspect of financial planning for women is helping them develop a strong retirement plan.\u00a0 A CFP\u00ae can help you determine how much you need to save for retirement, how to invest your savings and how not to outlive your savings.<\/span><\/p>\n

There are two distinct threats in facing women in retirement: needing expensive assistance with basic living activities and outliving your resources.\u00a0 A CFP\u00ae can help you think about the possibility of needing care late in life and how to pay for it.\u00a0 Your CFP\u00ae can also help you explore ways to extend your resources by using financial tools such as an annuity or a home reverse mortgage.<\/span><\/p>\n

Peace of Mind<\/b><\/h2>\n

Perhaps the greatest benefit a CFP\u00ae brings to financial planning for women is peace of mind.\u00a0 You don\u2019t have to be an expert.\u00a0 You don\u2019t have to worry about what you don\u2019t know.\u00a0 You just need to find a CFP\u00ae you trust and hire them to help you.\u00a0\u00a0<\/span><\/p>\n

This is where women are generally much better than men.\u00a0 Women know when they don\u2019t know something.\u00a0 They know when they are lost.\u00a0 They know when to ask for directions.<\/span><\/p>\n

So, a CFP\u00ae can play a vital role in financial planning for women.\u00a0 If you are navigating your financial life on your own, consider working with a Certified Financial Planner\u2122.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

During World War II women began to enter the workforce in large numbers.\u00a0 While many men were doing most of the actual fighting, women left their homes to replace men who left jobs and enlisted in the war.\u00a0 Ever since women have been a growing presence in the American workforce.\u00a0 So, the need for financial […]<\/p>\n","protected":false},"author":2,"featured_media":4261,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","_mi_skip_tracking":false,"footnotes":""},"categories":[3,6,11],"tags":[32,66,87,140],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/posts\/4260"}],"collection":[{"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/comments?post=4260"}],"version-history":[{"count":0,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/posts\/4260\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/media\/4261"}],"wp:attachment":[{"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/media?parent=4260"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/categories?post=4260"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/springwaterwealth.com\/wp-json\/wp\/v2\/tags?post=4260"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}