Women are participating in the workforce and gaining tertiary qualifications at a greater rate than ever before but many women lack confidence when it comes to money.
Research by the Australian Securities and Investment Commission has found nearly half of women (46 per cent) find money decisions overwhelming and stressful, and on average women retire with half the super balance of men.
It also said 85 per cent of women under 35 don’t understand fundamental investment concepts.
ASIC is urging women to talk about money, so they feel comfortable making decisions about their finances and get the most out of their money in the future.
It has released a video series featuring five Australian women – including author and social commentator Jane Caro and actor and radio presenter Kate Richie – who share their personal money stories and habits.
In her video Jane Caro talks about the value in big mistakes.
“I got involved in a bad investment when I was young,” she says.
“I felt like a fool and that I was no good with money but what I would say now is those [events] are recoverable from. Learn from it.”
ASIC Commissioner Cathie Armour said she wants women to engage with their finances and secure their own futures.
“We want to encourage them to share their personal stories and have real conversations about money so they become empowered. We believe this is the best way for women to have real control over their financial futures.
“There are inequity issues to consider, the gender pay gap cannot be ignored,” she said.
“And workforce issues are often further complicated by the fact that women tend to be carers – whether it’s for young children or elderly parents – and career breaks create situations where women don’t have the same continuity of earning their male counterparts have.
“Women often focus on the everyday needs of their families and lives and have looked at money in a very immediate way. We want to change this and encourage women to look at money from a longer-term perspective.”
She said more than 3.5 million women visited ASIC’s MoneySmart website last year and they are accessing information to make informed decisions.
“Talking about money is a good thing and ASIC is keen for women everywhere to join this conversation,” Ms Armour added.
The Women Talk Money videos, presented by ASIC’s MoneySmart, also feature TV host and actor Faustina Agolley, co-founder of The Remarkable Woman Sivani Gopal and Sarah Moran,co-founder and chief executive of Geek Girl Academy.
The women join ASIC’s Laura Higgins in conversation about a broad range of money topics including,
- Good and bad money habits
- Financial highs and lows
- What advice they would give their younger selves
- Managing money day to day
- Planning for the future including superannuation, and
- Making informed decisions.