Broker Check
Conquering Retirement Challenges for Women

Conquering Retirement Challenges for Women

March 02, 2023

Conquering Retirement Challenges for Women

Women may face distinct challenges when it comes to retirement planning and retirement savings. Given that women tend to outlive men by a greater margin, it's possible that their retirement savings will need to go even further. 1

In spite of these obstacles, a shrewd plan can give women cause for optimism.

Get clear on your vision.

In your golden years, do you plan to travel or settle down? Do you intend to move to a retirement community or do you plan to maintain as much of your current lifestyle as possible? You and your spouse should plan for retirement together if you are married.

Without clearly defined objectives, it is impossible to assess progress toward them. Financial planners are there to help you figure out how to get where you want to go, or how to modify your current plan so that it works better for you, if you find that you are falling short of your goals.

Get creative with your strategy.

It's a good idea to put away more money for retirement if you plan to take time off work or have already done so. You may be eligible to make contributions to an IRA if you are a stay-at-home spouse supporting your family.

Required minimum distributions (RMDs) must be taken from a Traditional Individual Retirement Account (IRA) and other retirement plans once the account holder reaches age 73. Taxed as ordinary income, withdrawals from Traditional IRAs may be subject to an additional 10% federal income tax penalty if made before age 5912. Depending on your adjusted gross income, your Traditional IRA contributions may be tax-deductible in full or in part.

Look for sources of additional income.

As a caregiver for an elderly loved one, you may be eligible for compensation. The American Association of Retired Persons suggests looking into Medicaid or the Veterans Administration as possible income sources. Consulting with an expert in the field can help you better understand your options and identify potential avenues for making money off of your efforts. 2

Keep the conversation open.

The best thing you can do is to have consistent conversations about money with knowledgeable people. You have more tools at your disposal than ever before, and teaming up with a reliable financial advisor can help you keep track of everything at all times.

Many obstacles can stand in the way of a woman's retirement savings, but with forethought and innovation, she can overcome them and reach her goals.