In today’s world, women are ahead of the curve when it comes to achieving career goals, deviating into industrial sectors or breaking traditional stereotypes. However, when it comes to retirement, women do not always plan in advance. Married or single, it is imperative for all women to save sufficient funds to plan a comfortable retirement.
Below are a few reasons why women would need to save more, for their retirement:
Women are Averse to Taking Risks
Relocation and transfers, in government or private jobs, is common. However, when it comes to women, only a small percentage is open to relocation or transfer as they have to fulfill personal responsibilities. Moreover, they are averse to taking jumps and changing jobs at regular intervals. This may hinder women’s growth – both professional and financial – at some point in time. Hence, they should start planning their retirement corpus right from the beginning. Make use of the FD calculator to check your retirement corpus according to the amount of investment and rate of interest.
Women have Lesser Working Years
Several women end up taking sabbaticals for maternity and family. This leaves them with a shorter working period, and work gaps in between. Usually, this affects their salary when they consider rejoining, and impacts their financial freedom.
In order to be better prepared for such scenarios, it is important to spruce up and consider smart investments. When you start saving in advance, you can be more confident about your financial health and end up taking career roles that are in better sync with your career choices.
You can consider investing in high-return schemes such as FDs, which offers higher interest rates and returns.
Glaring Wage Gaps
Several recent research and studies have pointed towards a glaring gender wage gap. According to the Monster Salary Index (MSI), women earn 20% lesser than men. Despite the same number of experience and designation, women are paid lesser by the employers in comparison to their male counterparts. Call it gender discrimination or corporate rules, but this is how most of the companies operate, and there’s no bargain.
Owing to the huge pay gap, and lesser working years on hand, women need to amp up their saving plans. Women can end up maximizing savings much more through fixed deposits as compared to a savings account.
Women have Higher Life Expectancy
The average life expectancy of women is higher than men. At the age of 60, when most Indians retire, the average life expectancy of men is 77.2 years while that of women is 78.6 years. Hence, the retirement corpus of women needs to be bigger than men, to meet the daily needs comfortably, along with medical expenses, if any.
Hence, it is time for women to step up the financial ladder, and take control of their finances. There are several long and short-term investment options for you to start investing. You need to start making the right choice, so you can secure your future and your family’s too.