Few females have adequate super plans, says Westpac report

A report by Westpac has found that women are not planning financially for gaps in their career cycle.

While saving for retirement is a concern for all Australians, knowing how and when to maximise your wealth can be tricky.

This is one of the reasons why utilising the services of a financial planner can be so helpful – an industry specialist will be well-placed to assist you with a long-term strategy for savings.

And according to a report from an industry expert, this is something that Australian females may be neglecting to attend to.

The Westpac Women’s Financial Health Report (WWFHR) was compiled in September 2011 and surveyed women nationwide about their attitudes toward savings and specifically retirement planning.

According to the figures, only 13 per cent of women felt very financially secure and only 20 per cent felt that they had a sound financial plan for the future in place.

Significantly, 48 per cent of those women surveyed felt that they would not have the required level of wealth to retire in comfort.

The earlier you can start a financial plan for retirement savings the better, but it is never too late to take stock of your income and decide how best to maximise its potential.

Investments, savings strategies and super funds can all help boost your cash flow potential for your post-work years, but if you lack the necessary financial know-how, navigation through processes, applications and terms may be overwhelming.

According to research from the Association of Superannuation Funds of Australia, on average women retire with half as much superannuation than men, even though their life expectancy is higher.

The WWFHR asked women to estimate retirement income and many answered that they would need less money than their male counterparts – however most did not take into account possible breaks in their careers due to maternity leave and family commitments.

As these career breaks are issues specific to women, Westpac suggests that this indicates the need for a more proactive approach to retirement planning, such as raising awareness of the benefits of using a financial advisor.

The survey showed that 69 per cent of women are not actively using professional finance services.

ipac is one of Australia’s largest financial advisory firms and has offices based across the country. A wholly-owned subsidiary of the AMP Group, ipac specialises in research and financial advice that helps clients lead happier, more fulfilling lives.