We know that women are very good at their day to day budgeting and that we have been less successful saving and investing for our retirement. There are structural causes of our lower superannuation balances, but based on your own experiences, what advice would you give a younger you?If you knew then what you know now, would you have done anything differently? This is a question many of us have pondered. When it comes to planning, saving, and investing, it is also a question that often nags us during the best and worst of economic times.If you haven’t before, I’d encourage you to take some time to write a letter to your younger self.
“I think it is really important for women to have superannuation from the time they leave school (or even younger).”
— Kate Gunn, Co Founder and Director of Balance! Healthcare Pty Ltd
“When it comes to our future though, the best way to keep caring for our families is to make sure we ourselves are financially secure.”
— Professor Roslyn Russell, School of Economics, Finance and Marketing, RMIT University”
“First off, start saving money. Now. As in, right now.”
— Chris Nesi
“Learn to negotiate. This goes for everyone but especially for women.”
— Nancy L. Anders, CFP
“Looking back on my life – on our life – I wonder what I could have done differently to protect myself from the financial hardships I’m facing today.”
— Avraham Byers
economic Security4Women (eS4W) is venturing into the sharing economy and setting up a website for women to share this knowledge. We invite women to write letters to their younger selves, to let them know the financial impact of a good or not so good decision they made in the past. These letters will be published on this website.
In May ASIC launched their ‘Women’s money toolkit’. Issues raised in the letters will link back to the resources on the MoneySmart’s website or will identify gaps in the information women are looking for.
ASIC also provide the below information – click on the buttons to learn more:
Kate said that any time you are working you should be maximising the tax benefits of superannuation so you have enough money in retirement.
Professor Roslyn Russell says that looking after yourself financially is the best way to care for your family. Women are carers. Our natural instinct is to put ourselves last so our family have what they need. Often it means going without the things we want so our children don’t. Lessons about money I want my daughter to know
Chris Nesi told her younger self that if she put aside just $20 a week starting today in an account that yields two per cent interest annually, that will grow to $11,615.46 by the time you’re me. A Letter to My Younger Self: 10 Years in the Making
Considering my successes and failures during my fifteen years as a “grownup”, following this one paragraph of advice would have allowed me to enjoy the best parts of my financial life without experiencing the worst. If I could give 18 year-old me just one paragraph of financial advice, this would be it
Since men are four times as likely as women to negotiate their first salary, this may have a major impact on the salary gender gap. Financial advice I Would Give My Twenty-Year-Old Self
So I leave you with this, my final piece of advice to you, before you catch up to my 70 years: Know that a good income doesn’t always lead to a good outcome. Don’t buy more than you need, and don’t get sucked in by status symbols. A letter to my younger self: Financial lessons I’ve learned along the way
eS4W raises the importance of women’s long term economic and financial wellbeing and the steps they can take to have the best retirement savings.
We are working towards an increase in the economic independence of women with a focus on engaging and educating young women.