Published by Taylor Financial Group (for women)
Have you ever gone to the gym but were too afraid to use the weights in front of all the men even though you really wanted to? If there’s one thing I have learned in life, it’s that giving into your fears will never make you a stronger person, not physically or mentally.
For instance, I work in a male dominated field and have been subject to many discriminatory comments about females in the financial industry. But if I had let that stop me, I would have never had this amazing and rewarding career! Men ruling the financial industry can be especially nerve racking for women investors and is one of the reasons an investing gap exists. Here’s how you can help close the investing gap.
Don’t remain in your comfort zone. This is the number one rule- Sitting on your cash isn’t going to close the investing gap. Cash has zero potential to grow over time. Stocks do! You need to invest, invest, and did I mention invest?! A simple way to start is with a 401(k) retirement account (if your employer offers one). Your money will maintain steady growth and, if your employer provides a match, that’s even better! Who doesn’t love free money? Also, since your contributions are pretax, it can help lower your tax bill. If your employer doesn’t offer a 401(k) plan, consider an individual retirement account (IRA) outside of work.
Educate yourself and understand the risks before you do anything. As a financial advisor, I can’t tell you how many times I’ve heard prospective clients say that they don’t want to invest simply because they are too nervous or scared to lose everything. But, don’t underestimate yourself. When they do invest, women are rational investors. In fact, they tend to invest better than men, who typically trade too often and make overconfident decisions. The way to get rid of your fear is to educate yourself because education is empowerment!
The bottom line is that it’s important to make investing a habit. Taking just a little out of every paycheck will help reduce investing risks. You are powerful and smart! You might just need a little push, some education on investing strategies, and good advice.
Want to learn more about investing? Join me at my next workshop on April 12th at 6:45 p.m. at the Ridgewood Public Library to learn how you can invest like an insider! You can view our full workshop schedule on our event’s page. And don’t forget, I am always here to help you become a confident investor.
Money Magazine, The Gender Investing Gap, March 2018
Securities offered through Cetera Advisor Networks LLC, Member FINRA/SIPC. Investment advisory services offered through CWM, LLC, an SEC Registered Investment Advisor. Cetera Advisor Networks LLC is under separate ownership from any other named entity.
Some IRAs have contribution limitations and tax consequences for early withdrawals. Distributions from traditional employer sponsored retirement plans are taxed as ordinary income and, if taken prior to reaching age 59 ½, may be subject to an additional 10% IRS tax penalty. For complete details, consult your tax advisor or attorney.