Podcast Episode 366: The Comparison Game – What We Learned About Women We Work With

It’s human nature to want to play the comparison game to find out how you stack up, especially when it comes to your finances. All that really matters is that you’re in good shape for the life that you want to create for yourself. But the comparison game is helpful for us to better understand our clients and their needs.

In our latest episode of the Money Wisdom podcast, Heather Atkins, CFP®, CRPC® shared some fascinating research focused on the financial planning needs of single women. Heather has spent time meticulously gathering data on 50 of our clients, all of whom are single women—either divorced, widowed, or never married. This episode is packed with insightful revelations that can empower women in similar situations to take control of their financial futures.

Heather’s research aimed to understand the unique financial challenges and opportunities faced by single women. One of the key findings was the diversity in monthly income among these women. While some were bringing in modest amounts between $2,000 and $3,000 per month, others enjoyed incomes exceeding $20,000 per month. This wide range highlights the varied financial landscapes that single women navigate, influenced by factors such as employment status, retirement, and investment income.

A significant portion of the discussion focused on homeownership. Heather’s findings revealed that 63% of the women in her study owned their homes outright, a remarkable achievement considering the financial hurdles that can accompany divorce or widowhood. This statistic underscores the importance of homeownership in providing financial stability and reducing monthly expenses, especially in retirement.

Income in retirement was another critical area of Heather’s research. On average, retired women in the study had a monthly income of about $4,800, which was typically sufficient to meet their needs. However, this amount represented a significant reduction from their pre-retirement incomes, emphasizing the need for careful planning to ensure a comfortable lifestyle post-retirement.

Net worth was a topic of great interest, with the average liquid net worth of the women studied being around $950,000. However, the median net worth was closer to $730,000, indicating that while some women had significant assets, others had more modest savings. This range highlights the importance of personalized financial planning to address individual needs and goals.

As we discuss throughout the show, financial planning is not about comparing oneself to others but about ensuring that each person is on track to achieve their own financial goals. This research serves as a powerful reminder of the resilience and resourcefulness of single women in managing their finances.

For those interested in diving deeper into these insights, you can take advantage of our complimentary Women’s Guide to Financial Empowerment. Simply text the word “empower” to 807-570-436 to receive your copy.

Here’s some of what we discuss in this episode:

• Why Heather did this research on female clients and what she wanted to learn.

• What does the monthly income look like for this group of women?

• The exercise Heather does with clients to calculate their expenses.

• What did we find when it came to homeowners versus renters?

• Breaking down income and net worth and sharing her findings.