Financial Literacy Advocate Melissa Newton Talks Financial Tips at AAUW Naperville

The U.S. Department of Labor’s Women and Retirement Savings booklet offers a startling statement regarding women and their participation in a retirement plan.

“Of the 62 million wage and salaried women (age 21 to 64) working in the United States, just 45 percent participated in a retirement plan.”

Here is another factoid for you to consider: women who live to age 65 have a 52 percent chance of reaching age 85. The statistic reported by the Actuarial Foundation and Women’s Institute for a Secure Retirement are causing some women to take a more proactive role in taking command of their personal finances.

I had the opportunity to present How to Achieve a Well-Planned Money Life: Smart People Research to the AAUW Naperville branch earlier in February 2016. The American Association of University Women is doing terrific work, both locally and corporately, to advance the “equity for women and girls through advocacy, education, philanthropy, and research.” Education is a key value-added to its members, which is why I visited this group of money-savvy ladies. Let me share just one thought from the presentation.

Money smart people research to find information so they can make better financial decisions. Of course, before you can begin researching to create a retirement plan, you need to answer an important question, “What do I need?” Whether you are starting your first job or nearing retirement, there are at least seven money lifestyle expenses to take into consideration:

1. Monthly living expenses
2. Housing
3. Medical costs
4. Outstanding debt
5. Taxes
6. Inflation
7. Retirement dreams

It goes without saying that achieving a well-planned money life takes, well, a lot of planning. The task that both young professionals and seniors alike have is twofold.

1. Think about what you want your money lifestyle to be in retirement.
2. Determine what your actual expenses will be.

There are many credible resources for money smart consumers to begin their research with regard to retirement planning. The U.S. Department of Labor’s Taking the Mystery Out of Retirement Planning, the Social Security Administration’s Retirement Planner: Plan For Your Retirement, and the Retirement category at the AARP.org website are resources to start your research.

I was delighted to take a few minutes to chat with Natalie Vitale of Money Matters at Naperville News 17 (NVTV-17) before the presentation. I encourage you to check it out for a couple of money tips I offer that everyone can use.