Four Things That Keep Women Stressed About Retirement

By: Richard Rosso

I ask women what keeps them awake about retirement. What are their greatest fears? The responses overwhelm me.

Planning for retirement; the thought of retirement, is a major source of anxiety. From primary-wage earners to stay-at-home moms, overarching, similar concerns are shared.

It comes down to reducing stress and increasing security. Here are the top 4 sources of anxiety I encounter. Do you feel them? Can you relate to them?

I will be left alone.

The majority of women are convinced they will be living, at the least, their last decade in retirement, alone as spouses pass on and children justifiably so, are occupied with their own lives.

The thought of handling financial obstacles alone, especially when it comes to long-term care or nursing home expenses, is a formidable source of angst.

Women fear being a burden to their families, becoming isolated and facing solo the vulnerabilities concomitant with aging.

The women I encounter rarely voice their concerns to financial counsel, nor are they asked. Surprising to me few are reluctant to discuss the issues with spouses or partners. They fear appearing ‘silly’ or ‘dramatic.’

Since women tend to outlive partners there’s nothing ‘silly’ about this worry. U.S. census data outlines that roughly 50% of women 65 or older are indeed on their own, whether divorced, widowed, or never married.

I invite women to explore the issue. Open the door to sharing the concern with others. I encourage them to get their thoughts down on paper. Shed the pain and fear through ink. Writing is a powerful self-awareness, anxiety reduction exercise.

I requested they write in quiet time. Alone. I ask they visualize. Give their fear dimensions. Traction. Financial. Otherwise. Everything goes. No judgment. All that is contributing to their concerns should be spilled.

From that point, women must take a leap, possess the resolve to communicate the concerns. Their writings need to be shared with loved ones, significant others and finally, a financial planning-based adviser who is willing to listen. A financial partner can create practical goals-based strategies to alleviate the fears.

Financial professionals can be effective at facilitating family discussions. They may help women feel confident to share as long as they remain empathetic and being in the middle as nonjudgmental sounding boards.

Social Security is confusing.

Women believe they need to take Social Security retirement benefits at age 62 or don’t understand the impact of maximizing spousal or survivor benefits.

Discussions surrounding Social Security maximization strategies are important. Several women were told by financial advisers that they were correct to consider early Social Security payouts. Yet, they didn’t explain why this was the primary option. Big mistake.

Social Security is an important topic for a woman and her partner to discuss together as both may be affected long-term by their benefits decision.

I’m afraid to outlive my savings and investments.

A majority of women share how sensitive they are to longevity risk. Many have parents who are thriving at 80 or older.

Frankly, the financial profession is inundated with studies about the appropriate asset allocations and withdrawal rates required to ensure that investments, adjusted for inflation, last as long as they do.

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