Why Wealth Management Is Important for Women

Today, women control a third of household assets one major reason why wealth management is important. But by 2030, U.S. women are expected to control much of the assets that the baby boomer generation will pass to heirs; roughly 30 trillion in assets.

Wealth Management is Important for Women

Women are becoming the newest face of wealth and will increase their net worth even more in the coming years. They are also becoming the primary ‘breadwinners’ in many families and financial decision-makers. Women have unique needs that often differ from their male counterparts:

  • Women have an additional life expectancy of 5 years longer than men.
  • They earn seventy-nine cents to every dollar a man earns.
  • Women often take time off from work to care for other family members.
  • Women, on average, save less than men for retirement and other financial goals.

It’s essential that women work toward managing their finances and meet with trusted professionals who understand their situation. They can plan for their future by incorporating these essential components:

Tax planning

Planning for taxes at the beginning of the year can help determine appropriate tax-saving strategies. Certain tax credits and contribution limits for retirement savings accounts may phase out.

Goal setting

Even though saving, investing, and spending is important, it’s vital that women identify realistic goals to work toward. Wealth management is important and so is goal setting. Some goal-setting ideas include:

  • Giving to charity
  • Estate planning
  • Pursuing a specific return on investments
  • Eliminating debt and working toward paying off a mortgage

Selecting investment strategies aligned with values

A study by Cerulli Associates found that 43% of women feel a company’s policies on social or environmental issues are essential when deciding to invest in that company. Women can work with financial professionals to help identify strategies aligning with their goals and values.

Working with financial, legal, and tax professionals

Women may have more complex tax and estate planning needs than their male counterparts, especially when they inherit. Having unbiased professional advice suitable for their unique situation is also essential. These professionals can work as a team to help identify unique issues, develop a plan, and select strategies to help women work toward their goals.

Diversifying their portfolio’s investment strategies

Putting all your money into strategies that aren’t diversified can leave one with a tax bill or put a portfolio at risk of loss during market turbulence. Implementing annuities and other strategies outside an employer’s retirement savings account may offer additional diversification.

By taking action to manage their wealth and plan for their future, women can pursue financial confidence, regardless of their income.


Our family financial services firm, August H. Velten & Associates, has been in business for 12-years in Melbourne, FL.   August Velten (CLU) is a 40-year veteran of the Financial Services industry.  August is a former instructor for the Life Underwriter Training Council and once occupied the legislative seat for the Maine Association of Life Insurers.  In Brevard County, you may have seen him on local access TV or read one of his articles in a local area magazine.   Jessica Waterhouse, August’s daughter, left her own practice to join the firm in 2019.  Jessica is a Florida licensed insurance producer, securities licensed (Series 65), a long term care specialist (CLTC) and holds certification as a National Social Security Advisor.  Both August & Jessica are instructors for financial literacy workshops in both Brevard and Indian River County offering education in Social Security and Financial Planning. Contact the office today to schedule an introductory meeting or review of your current financial plan.

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