Tag Archives: women

The Gift of a Story!

If you believe in romance, then Ann-Marie’s story may take your fancy…

From a private airline hostess in Australia to the Amalfi Coast, Ann-Marie’s saga started the way of most fairy tales!  Swept off her feet by a German Count, she said goodbye to Australian shores, moved to Germany and proceeded to deliver luxury cars around Europe for her new father-in-law’s dealership.

A Champagne lifestyle followed as she jet set her way through Europe living it up as part of the Von Douglas Clan, the European branch of the Scottish Black Douglases.  Life was good, the Douglas women didn’t work… and travel to exotic locations was an integral part of the life she now led.

However, it turns out that not all fairy tales end with ‘and they all lived happily ever after…’

Anne-Marie has been kind enough to share her story with me in my book of how she went from the jet set, moved back to Australia to raise her daughters and to living on a much more modest ‘beer sized’ budget today.  She shares the best financial advice she’s ever been given and how to prepare for the unexpected.

And if you want to find out how Annie and I stay connected, I guess you’ll just have to pick up a copy of Financial Secrets Revealed.  I have plenty of stock on hand (just in time for Xmas) or good book stores and online shops all have copies.

 

Women’s Money Toolkit

I’m a big fan of ASIC’s MoneySmart website and love their Women’s Toolkit.  Have you had a chance to check it out as yet?

The women’s money toolkit has been designed with tips and tools to help you manage your money, gain an edge on your finances and deal with life’s ups and downs.  And we know there’s plenty of them!

The kit was developed because women face unique financial challenges such as having less super than men, living longer and taking time out of paid work to care for others.

It’s designed to have you answer some simple questions and receive a tailored list of topics that may include having a baby, relationships and money, sorting out your super and many more.

Create a personalised to-do list of the actions you need to focus on right now to make the most of your money and enhance your well being.

Remember, you can always:

Do yourself and favour and check it out here: ASIC Women’s Toolkit

Women & Superannuation

I’ve met plenty of people skeptical about our superannuation system over my years as a planner and I get it.  Believe me, I have to devote hours ever year to keeping up with the annual federal budget, managing legislative changes and getting my head around constantly changing tax and super laws.  It can be a drag!

It’s also true that we retire with about half the retirement savings of most men, and some women retire with no super at all!  But the reality is this, women live longer than men, making it even more essential that they accumulate enough superannuation to last them through retirement.

Having said that, women also face unique challenges when it comes to putting away retirement savings. Chances are, you’re still on lower pay than your male counterparts, you’ll take more time out of the workforce to raise the kids or care for your parents, and for those running a single-parent household, it can make it even more challenging to build a reasonable amount of super savings.

However, there are some simple strategies make it possible for women to overcome some of these hurdles, or make them less of an issue anyway…

Try and remember, that superannuation is actually your friend.  It is a very tax-effective way to save retirement. Your super fund pays a low rate of tax on contributions and investment earnings while growing your nest egg.  From age 60, you can withdraw your super tax-free.

Without any superannuation savings, many women are forced to rely solely on the age pension in their senior years.  Remember, the pension is designed as a safety net and won’t provide at all for a comfortable old age.  I’m not sure I could go back to a lifestyle that’s funded on around $23,000 per annum and you probably don’t want to either!

Firstly, don’t let your super funds get ‘lost.’  Try and ensure your funds are consolidated – this can help save on fees, but make sure you’re not losing valuable insurance coverage when doing so.  When possible, try to put extra away into super.  The ATO and website MyGov are making it easier than ever now to stay on top of your funds.

Affording an extra $20 – $50 per week now may not take food off the table but the additional money, plus years of compound interest will add up, and after all, your investing in your future self.  Sounds like a win to me!

Understand your fund and make sure your employer is putting your full entitlements in regularly on your behalf.  At the time of writing, this was 9.5% of your gross wage. Mostly now, we have super choice meaning that we’re able to choose the fund we want, and then check where your money is invested within the fund.  Is it in line with your investment profile?

To grow your fund, you’re often able to make pre-tax contributions (Salary Sacrifice) or even post-tax contributions where no tax is charged.  Depending on your circumstances, your partner may also be able to make contributions on your behalf and receive a tax offset for their efforts.

However you go about it, remember that you’re investing in your future and that superannuation is your money.  It certainly pays to be savvy with your super!  Sitting down with your financial adviser may reveal new and innovative ways you can make the most of your retirement savings!

The Truth about Investing

Plenty of people tell me, “I’ll come and see you when I have money to invest!”  Great!!  (Mostly, I’m still waiting…)

So how much does it really take to start investing?

Truth is, you really don’t need a lot.  Some start with a small lump sum and others put small amounts away regularly.  It’s really what’s best for you.

The best advice I can give you for free… is to start!  Then keep adding to your investments regularly.

You’ve probably heard it before, but remember – don’t put all your eggs in one basket! And, the higher the earnings or return you expect from an investment, the more risky it’s likely to be. Investments that offer lower returns are generally less risky.

A financial adviser can assist in working out your risk profile – that’s the level of risk you’re comfortable with, and that can depend on what you’re investing or saving for.  You may have a much higher tolerance for volatility for your superannuation or retirement funds than you would when saving for the deposit on a home.

Advisers are also qualified to assist when you’ve had an inheritance, lost or divorced a partner or had a major change in circumstances.

Sit down and work out your personal budget and see just what’s left each pay period that you can use to either bring down debt or start your savings plan today!  If you don’t know where to start, an adviser can definitely assist.  So stop putting it off and waiting for the magic to happen… chances are you’re more likely to get ahead by starting, than waiting.

Women & Retirement

Seeing there’s actually no fixed aged when you can retire, it’s really completely up to you.  What it does come down to usually is, can you fund it?

Most start thinking in their’s 50’s about how it’s all going to work, as entitlement to the Age Pension is somewhere between 65 and 67, depending on when you were born.

Often a gradual transition is the way to go, slowly cutting back on days at work, going part time before finally exiting the work force for good.  Other conditions to consider when approaching retirement and leaving the work force for good are the loss of social interaction provided by work and the mental stimulation that’s provided.

Do you have hobbies that can take the place of your usual schedule or will boredom quickly creep in?  Exiting slowly can help you keep a hand in, whilst transitioning slowly, giving you a taste for what lies beyond work.

Some may choose to continue working part-time towards their 70’s as life expectancy moves forward.  Others have always wanted to volunteer for a local school or charity and now enjoy giving back to their local community.

If you still have a partner, discussing expectations and plans for life after work is essential to ensuring you’re on the same page.  Suddenly being together 24/7 isn’t everyone’s ideal start to their retirement years.

For others, it’s time to buy that caravan or Harley (or both!) and join the multitudes of Grey Nomads touring the country!

For others it’s not so easy.  Forced retirement may be brought on by having to assist in caring for aging parents or unwell children or grandchildren.  This can seriously impact your ability to put away additional funds to help in your retirement years.

And still, financial considerations remain top of mind.  How much you’ll need in retirement is completely dependent on the lifestyle you’ll be living…  And what you have saved to boost your pension will often dictate that lifestyle.

You might want to sit down with your planner long before retirement is on the horizon and discuss strategies that may suit your circumstances.  If your debt is low, it may be time to give your superannuation funds a boost by implementing salary sacrifice strategies.  For those closer to retirement, it might be worth considering a Transition to Retirement strategy.  Those on a lower income may be able to take advantage of the Government’s Co-Contribution strategy.

Getting the right advice for your situation is likely the best investment you can make in your future.  So how does retirement look for you?

What does Financial Abuse Really Look Like?

Economic abuse is a form of abuse when one intimate partner has control over the other partner’s access to economic resources, which diminishes the victim’s capacity to support him/herself and forces him/her to depend on the perpetrator financially. …Financial abuse applies to both elder abuse and domestic violence.

– Economic abuse – Wikipedia

 

I’ve spoken out about financial abuse in the past, but it’s hard to imagine for a lot of people.  We know it’s out there, but what does it look like?  How does it affect people?  What’s the fallout?

I spoke to one survivor who is brave enough to speak out, and I want to share her story.

I met Tanya when I wanted to know more about media and publicity and enrolled in one of her courses to learn how to write a Media Release correctly and we stayed in touch via social media after the event.

I recently interviewed Tanya on learning she’d be a victim of financial abuse and she was kind enough to reveal her story to me.

Tanya had been an investigative journalist back in the day and has also gone on to run businesses.  When she met and fell in love with the man who would become her husband, she was quite well off.  She had a successful business, property and cash in the bank.

At the end of the relationship, there was nothing left in her own name.  All had been transferred into a company and trust of which he was the director and signatory of.  She remained just a shareholder, so all decisions could be made without consultation.

The belittling had by then been going on for years.  She was told she was bad with money, and obviously, she thought, it was true.  Everything she had was no more.  All her decisions were wrong.  He was right.  The emotional abuse was there too, alive and well.

Friends and family hardly recognized the frail shell that eventually did leave the relationship, the one she’d been told that she’d never be brave enough to do.  The relationship by then was twelve years old and Tanya had wanted out for the last six.

Her health was broken.  She had a stroke and a series of seizures brought on by the stress and she was financially at ground zero and emotionally bankrupt.  But she had a good reason to soldier on, her daughter.

Now, I’ve never been in a situation anything remotely like Tanya’s and we often hear now about ‘victim blaming’ statements.  Onlookers may make comments like ‘she should have gotten out earlier.’ ‘Why would you stay with a guy like that?’ ‘What was keeping her there?’ ‘Why did it take so long?’  And I guess unless we’re there ourselves, we’ll never really, truly know.

So, to ask the question everybody seems to want the answer to… why did you stay? 

“It was the frog in the pot scenario. If you throw a frog into boiling water it jumps out, but if you put it in warm water and slowly turn up the heat it will be boiled alive before it even knows it.

“I was isolated by the time I realised I needed to get out, cut off from my family and my friends, I felt there was no out. But then one day, I realised I couldn’t risk being a bad role model for my daughter any longer. I wanted her to know that she could get out, should the cycle repeat, and that she could have an amazing life in doing so.

“One day my husband gave me an ultimatum…. stop ‘playing around with the media’ and get a job in a supermarket. When my daughter heard this, she burst into tears and said ‘that’s not you mummy’.

“In that moment I realized I’d failed her and we had to go.”

And how did you finally manage to get out?   

“I started putting $20 per week onto a grocery card so that we’d have funds to last us for food once we’d gone.  I managed to have three months saved when we left and had squirrelled things away with a close friend.  The timing had to be right too.  It’s not an easy thing.  If I had advice for anyone looking to move on from an emotionally and financially abusive relationship is that if possible, put aside whatever you can to tide you over for when you’re out.  That may not work for everyone, but it sure made a huge difference to me.”

It took a lot of time and the rebuilding is ongoing, of Tanya’s health and finances.  She’s used all of her experience in media and small business to build a success business today and her personal and business growth continues.

I’d like to thank her for being brave enough to speak out and let others see the real face behind financial abuse and it’s very frightening reality.  And also, to know that there’s hope.  No matter how broken, we can rebuild.

 

Disclaimer:  Please note that these are Tanya’s recollections and story and as such cannot be verified for accuracy.

Are you ready to be Unleashed?

If you’ve been following my blog for a little while, you’d know by now that I’m a bit of a fan of The Hunger Project and the work they’re doing to end hunger by 2030.

Many people are interested in the adventures I’ve had to Africa, visiting Uganda and Malawi in the past two years and have been happy to contribute to my fundraising endeavors (thank you sixty million times!!)

Yet the thought of personally fundraising $10,000 and finding $5,000 for the trip is pretty overwhelming… let alone the emotional confrontation of facing some of our planet’s biggest issues head on!

So, if you’d love to be involved, and help out, but on a much smaller scale, then Unleashed Women is totally for you!

You’ve got the next 12 months to fundraise (or personally donate) $1,000 and motivate other lovely ladies to join you on the crusade to end hunger.  Having seen first hand how ‘the other half live’ makes you so appreciative of all we have.

We turn a tap on and water magically runs out, we flick a switch and there’s electricity, we open the fridge door and could feed a small nation and still believe ‘there’s nothing to eat!’ and push the remote on the garage door to head out into the world in our vehicle that isn’t a clapped out bicycle, and that we can afford to put fuel in each week.

I signed up to be an Unleashed Woman for the end of 2016 and will be ready to go again in 2017.  I hope you’ll join me!  Can’t wait to share this next adventure with you!

Find out more about what’s involved here: THP Unleashed Women