Latest news with #financialconfidence
Yahoo
2 days ago
- Business
- Yahoo
Women Are About To Inherit $30 Trillion in ‘Great Wealth Transfer' — How To Prepare for Your Windfall
American women are poised to inherit $30 trillion in wealth in the next 10 years in what experts are calling the Great Wealth Transfer, already in progress. Much of this money will be passed generationally, and a significant amount will move from men to their wives, according to The Rising Wealth of Women, a Bank of America Institute report published last year. Although this transfer is narrowing wealth disparities between women and men, the study found that women are still less confident in their ability to manage a financial windfall. Watch Out: Read Next: A recent survey from Citizens Bank found 66% of Gen Z women and 50% of millennial women said they'd delayed actively managing their wealth because they lacked confidence or didn't know how to do it, and just 16% felt completely confident in their ability to manage an inheritance. Keep reading to learn how to take control of your money and prepare for your eventual windfall. The vast majority of women who've already inherited money from their parents or their husbands felt unprepared. Global wealth manager UBS noted in its May Own Your Worth report that 40% of women who inherited from their parents had done so with no wealth-transfer or estate plan in place. Widowed women faced similar predicaments, with 25% not even knowing where their husbands' wealth was. At the very least, know what assets your family has, where they're held and how they'll pass on to you. Tax planning is also important, according to 87% of the inheritance recipients surveyed by UBS. Discover More: Defining your short-term and long-term goals in writing gives you a blueprint to guide your financial decisions now and after you've received your inheritance. These priorities might include: Building an emergency fund Saving for retirement Paying off debt Starting a business Saving for your kids' education Buying a home Planning your own estate It's never too early to start working toward your financial goals. A budget is the best way to do it. In addition to eliminating waste, it gets you in the habit of spending mindfully and deliberately. That accountability is the key to financial health, and it'll give you more choices when it comes time to decide how to use your inherited funds. A high percentage of women have never had their own investment account — and those who do invest do so more conservatively compared to men. Bank of America found that they allocate smaller percentages of their portfolios to stocks, for example, and are less likely to invest in risky assets like cryptocurrency. That's not a bad thing if it aligns with your risk tolerance. But if you're staying out of the market or investing conservatively because you don't feel competent enough to take more risk, make financial education a priority. Many resources are available online. You can find continuing/community ed courses through local colleges and universities. A certified financial planner (CFP) can help advise you on the best approach to meet your financial goals and help you figure out how your inheritance fits into that plan — and into your own estate plan as well. When the time comes, they can also advise you about the benefits of working with an attorney, tax accountant and/or insurance agent to protect your expanding assets. It's not unusual to have mixed feelings about planning for an inheritance. After all, it forces you to acknowledge your family members' and your own mortality. But laying the groundwork now can put everyone's minds at ease knowing that you're ready to receive this transfer of wealth and prepare the next generation to receive theirs. More From GOBankingRates Mark Cuban Warns of 'Red Rural Recession' -- 4 States That Could Get Hit Hard Clever Ways To Save Money That Actually Work in 2025 I'm a Retired Boomer: 6 Bills I Canceled This Year That Were a Waste of Money This article originally appeared on Women Are About To Inherit $30 Trillion in 'Great Wealth Transfer' — How To Prepare for Your Windfall
The Sun
20-05-2025
- Business
- The Sun
A quarter of Brits are ‘silent savers' who keep their financial affairs private
ARE you a 'financial freewheeler' or an 'anxious avoider'? Take this quiz to find out your financial personality. The tool will ask you a series of questions based on your approach to conversations around cash in the bank and reveal one of four outcomes. 1 It follows research which revealed a quarter of Brits are 'silent savers' who keep their financial affairs private - with just one in 20 an 'open book' when it comes to money matters. A poll of 2,000 adults also revealed 18 per cent identify as a 'cautious calculator'; a careful planner and meticulous mathematician when it comes to their finances. And 12 per cent were a 'casual conversationalist', discussing money in a relaxed manner and sharing personal experiences. According to psychologist and broadcaster Dr Linda Papadopoulos, the research showed that typically Brits tend to look to avoid conversation around money, despite 50 per cent believing it's a positive thing to talk openly about it. Speaking in collaboration with KPMG UK ahead of National Numeracy Day on May 21, Dr Linda said: 'The research has shown a real mix of confidence when it comes to finance and dealing with money. 'And confidence is key – this isn't just about maths; numeracy is all around us in every way. We're always dealing with numbers in some form in our lives. 'The good news is, many do rate their understanding, but as soon as things get a little complex, confidence levels drop. 'Talking about numeracy and financial topics more frequently would absolutely help people to build confidence, hearing whether other people thrive or struggle – and enable one another by listening and lending a helping hand.' When provided with 10 personality approaches to money, only three per cent considered themselves an 'oversharing optimist' and four per cent a 'competitive comparer'. Respondents are most comfortable speaking to partners (46 per cent), family (20 per cent) and friends (10 per cent) about money but only one per cent would openly discuss it with a work colleague. And when it does come to chatting about finances with friends and family, 24 per cent do so only a few times a year. Three in 10 wish they were more comfortable talking about money with others according to the OnePoll data. More broadly, 88 per cent said they were confident in their ability to work with numbers, but 37 per cent did admit to struggling to understand financial documents such as utility bills and bank statements when it comes to numerical complexity. While 49 per cent said they openly talk about financial topics such as the value of money (61 per cent) and encouraging responsible spending habits (52 per cent) with their children to increase their exposure from an early age. And despite a generally strong understanding of numbers, 35 per cent do find themselves short of cash at the end of each month, with 23 per cent lacking funds halfway through. Typical reasons included unexpected costs (38 per cent), high bills (33 per cent) and not enough income to see them through (29 per cent). However, a lack of savings, bad budgeting and money mismanagement equated to 28 per cent of reasons why. With 30 per cent of those polled saddled with a form of debt, such as a credit card, mortgage or loan. Bina Mehta, chair at KPMG UK, which commissioned the research, said: 'Number confidence can have a significant impact on our lives, especially when it comes to understanding 'everyday' numbers like mortgage or credit card interest rates. 'Good numeracy skills can improve confidence with financial decision making, enhance job prospects, and even guard against vulnerability to fraud and debt, all of which contributes to a healthier and more inclusive economy.' Sam Sims, chief executive at National Numeracy, added: 'This research highlights just how deeply personal our relationship with money is - and how confidence with numbers shapes our financial decisions. 'While it's encouraging that so many people feel confident with numbers, the reality is that millions are still struggling with budgeting and understanding bills and financial documents. 'We know that boosting numeracy isn't just about being better at maths - it's about building the confidence to face everyday financial challenges and make informed decisions. 'That's why National Numeracy Day exists: to inspire people to feel good about numbers and take that first step towards improving their skills - because better numeracy can lead to better opportunities, and brighter futures for everyone.' TOP FIVE MONEY PERSONALITIES BRITS RELATE TO MOST 1. Silent Saver - Prefers to keep financial matters private, rarely discussing savings or investments with others. 2. Cautious Calculator – A careful planner and always analyses financial decisions, often creating detailed budgets and tracking expenses meticulously. 3. Casual Conversationalist – Discusses money in a relaxed manner, often sharing personal experiences and anecdotes without much concern for details. 4. Reluctant Realist - Talks about money with a pragmatic approach, acknowledging financial challenges and limitations. 5. Generous Mentor – Loves to share financial advice and tips, often helping others with budgeting and investing.
Wall Street Journal
13-05-2025
- Business
- Wall Street Journal
German Financial Optimism Gets Boost from Tariff Retreat, Merz Government
German financial confidence jumped this month as U.S. tariff concerns were alleviated somewhat and Germany's new government began to take shape. The ZEW Indicator of Economic Sentiment, a gauge that tracked the expectations of 191 analysts at banks, insurance companies and other businesses, rose 39.2 points on month to 25.2 in May. Economists polled by The Wall Street Journal expected a lower score of 16.4.
