by Elisabeth Donati | Feb 11, 2016 | Financial Literacy Principles, Money and Women, Uncategorized
Here’s a financial tale for your enjoyment…
“Once upon a time there was a beautiful and popular girl who grew up in the world’s most perfect little family. Everyone loved each other, spoke nicely and supportively to each other and everyone went to bed happy and joyful every night.
The girl learned everything she needed to know in order to grow into a stunning (aren’t they always?) young woman who graduated with honors from the most prestigious university in the country with the most amazing job offer of $100,000 to start along with plenty of yummy benefits.
On the first day of her fabulous new (and first and only) job, she met the man of her dreams (of course). He was not only to-die-for handsome but romantic in every way.
He swooped her off of her feet, they fell helplessly in love and had the most exciting, beautiful and memorable fairy tale wedding in the world. Their honeymoon was exquisite…a month-long cruise to every island in the Caribbean.
After their perfect honeymoon, she went back to her satisfying career and worked for five more years, getting promotions and huge raises every year.
Finally, the couple decided to have two perfect children, a sweet and charming girl and a handsome, intelligent boy, each gifted and never a behavioral problem ever.
The perfect couple lived with their perfect children in a perfectly safe housing development with a view of the mountains on one side and a view toward the ocean from the other side.
The couple saved and invested ten percent of their income from their very first paychecks, never had a single emergency and even had enough put away to pay for their two children to attend the finest universities money could buy.
They never got into any debt and when they were 55 years old, they both retired and lived out their lives happily ever after.”
STOP! WAIT! This isn’t how your life turned out? Mine either!
Let me guess what DID happen…
- At some point, you couldn’t afford your expenses (or you just had to have those new shoes, the matching handbag and the perfect coat), so you borrowed some money to get by (i.e., you used your credit card). Then you couldn’t pay the loan or credit card back and the digging began. As the debt mounted, so did your stress levels and your ability to deal with money at all, or your children, or…
- Or you have just struggled to make enough money to pay your basic expenses and have felt there was never enough to start saving and investing. Many women feel this way, until they learn what we teach at Celebrating Women & Wealth.
- Or you got divorced and got the children but no alimony or child support.
- Or…there are a zillion other reasons why you are struggling financially. We feel your pain!
Please know that you’re not alone. There are more women in the U.S. (and world) who are struggling financially than most people realize.
Here are some interesting financial studies and findings…
According to a study on InsuranceNewsNet.com by the financial education company called Financial finesse:
- In every age group, women were more likely than men to report significantly higher levels of financial stress
- Women under 30 are nearly twice as likely as men to report feeling “overwhelming” or “high” financial stress levels.
- Middle- and low- income mothers are reporting the greatest financial stress of all the market segments studied.
- Men just seem to have an easier time of it. Among those with annual household incomes of under $60,000, men were twice as likely as women to report “no financial stress” (19% versus 7%), according to the study. The same trend appeared among those under age 30, where 26% of men reported having no financial stress, while only 9% of women said the same.
- Stress levels can change over time, especially with the help of education. The Financial Finesse study noted that 66% of all users of its financial education programs were women, and those women “appear to be taking steps to improve their finances.
- The presence of minor children in the household impacts women’s stress levels. For example, 10% of women with minor children reported overwhelming stress compared to only 3% of those without minor children.”We know that women often experience high levels of stress before retirement as they juggle both professional and family responsibilities (and) that the stress women feel often carries over into retirement,” said Elaine Sarsynski in commenting on the study.
The financial company Prudential reported:
- Forty-four percent of women are primary breadwinners in their households.
- Household income, personal circumstances and a host of other factors affect women’s stress levels and financial choices. For instance, 31% of women in the Prudential study said that not having enough disposable income was their top financial planning hurdle. They also complained of lack time to spend on financial planning and difficulty understanding financial jargon. married women now say they “take control” of financial and retirement planning and manage it themselves, up from 14% in 2006. Despite that, many women continue to feel more stress in financial matters than do men, although some are making strides.
- In the Prudential study, researchers found a worrisome retirement trend, however. Only 33% of the women said they were on track or ahead of schedule in planning or saving for retirement — down from 46% in 2008, although up from 24% in 2012.
- It appears that women’s top long-term financial goal is “having enough money to maintain their lifestyle in retirement,” Prudential researchers found. That’s followed by “not becoming a financial burden to loved ones” and “having enough money to pay for health care costs.”
These similarities in findings between the two studies occurred even though the foci of the studies differed: The Financial Finesse study looked at financial issues, while a MassMutual study looked at retirement issues.
As you see, women really are struggling all over the US. You definitely aren’t alone and not feeling alone is a great first step to finding solutions to your financial challenges.
If you’re want to learn more, and you’re ready to do money differently, click the link on the bottom right and schedule your free 30 minute consultation. It may be the most important decision you make today. We really want to help.
by Elisabeth Donati | Feb 3, 2016 | Adult Financial Education, Money and Women, Uncategorized
If you think that you can’t succeed in their world and you’ll never have the money or life that you might wish for yourself, think again. Here’s some great information for you to ponder…
The USA has been ranked the top place in the world for female entrepreneurs.(1)
Many women have decided that working for someone else just isn’t right for them. The fast paced office environment can cause early burnout so women choose to focus their efforts on their own businesses.
Here are 25 amazingly successful women who have worked their way from rags to riches. 
- Jennifer Hyman—Rent the Runway. She saw an opportunity to build a company based around renting designer clothing to brides and the bridal party, in New York City. Jennifer feels that it’s important to love what you do as you spend most of your time at work. She recommends that you have passion for what you do and to not focus on negativity.
- Julia Hu—Lark Industries. Julia saw a need for a silent vibrating alarm when her partner’s erratic schedule and alarms would wake her up. Today her company offers a band-like alarm clock and various wellness apps for the smart phone. Julia says that failure is normal and expected, and to keep pushing yourself to keep going.
- Alexa von Tobel—LearnVest. Alexa came from a family of entrepreneurs so it was normal for her to take that route too. She realized that there was no online resource to help people with basic financial help. She recommends that women begin with an idea that they love, as that’s what they’re going to have to devote the rest of their lives in doing.
- Lauren Bush Lauren—Feed. Lauren started a company where they have a line of bags, and a portion of the sales go to feed one child in a poor country for a year. The other portion goes toward profits. Her company has expanded to a wide range of accessories, and today she works with Disney, Gap, and Whole Foods.
- Ooshma Garg—Gobble. Ooshma created the Gobble company to link up busy but hungry people with personal chefs. Her company began in San Francisco but she plans to expand into other cities. She says that if you want to learn to be an entrepreneur, you should start by being one.
- Hayley Barna—Birchbox. Hayley thought it would be fun for women to receive beauty samples in the mail. The first roadblock was securing that initial funding, so she had to rely on family and friends. She recommends that you be open to feedback from everyone and that you may not have a perfect idea in the beginning.
- Oprah Winfrey—Harpo Productions. Oprah is one of the most well-known names today. She started from a poor family and won a scholarship to Tennessee State University. She became the first African American TV correspondent in her state. She moved to Chicago and the Oprah Winfrey Show began. Today she is a multi-billionaire.
- J.K. Rowling—Author, Pottermore. JK started as a single mother on welfare who would write her first Harry Potter novel at the local coffee shop. She received over fifty rejections before someone said yes. She insisted that she retain electronic rights to the Harry Potter books, making her wealthier than Queen Elizabeth II.
- Celine Dion—Musical artist. Celine is one of the world’s richest entertainers. She started as the 14th and last child of a very poor home in Quebec. She began singing at 12 and was discovered. Later she met her husband who became producer and manager and made her the star she is today.
- Jane Park—Julep Beauty Inc. Jane recognized a need for salon workers to use safe, naturally based nail polish. She opened up nail salons and then began a monthly subscription-based company where women receive nail polish every month, free of the top 5 toxic ingredients that are contained in common nail polish brands. Today the company has a large range of beauty products.
- Shania Twain—Musical artist. Like Celine, Shania grew up in a household that was too poor to have heat and often they had no food. At eight years old Shania began singing in bars to make her first $20. She continued her singing career through high school. She’s now considered one of the highest selling female musicians today.
- Taylor Swift—Musical artist. Taylor Swift started when she was eleven years old in Nashville, Tennessee. She went so far as to take a sample CD around to as many record labels as she could find. She repeatedly heard that her music was too common, but she worked at it and became a success in the country and pop music scenes.
- Hilary Devey—Pall-Ex. Hilary’s family lost everything during a bankruptcy. There was no money for Christmas presents and she had to make do with three dresses. She left school at 16 to earn money and would work overtime to make extra cash. She had two failed marriages but then decided to sell the family home to finance Pall-Ex.
- Indra Noovi—PepsiCo CEO. Indra grew up in middle-class India. She moved to the US without any money and in pursuit of a management degree. She worked as a receptionist to pay her college fees and buy an interview suit. She started at Johnson & Johnson and Motorola. She says that you must work twice as hard as a man to earn your way up the ladder.
- Michelle Mone—MJM Ltd. Michelle started out naive and didn’t realize how much work it would take to start a company. She grew up in a poor home which only had one bedroom. At 12 she started working in a fruit shop. At age 16 she had to leave school to look after her disabled dad. She worked as a model and then lied on her resume to get a job at Labatts. She realized the need for a comfortable bra and became cofounder of MJM.
- Ursula Burns—Xerox CEO. Ursula lived in the bad part of NYC. Despite living with a single mom, her mom raised enough cash to send her to college. Ursula became a summer intern at Xerox and never left. She’s now chairman and CEO.
- Jenna Lyons—J Crew Creative Director. She started working for J Crew at age 21 as an assistant. She says that you must start at the bottom and never expect that you’ll immediately be handed a platter. She worked for what she became. It took some really long hours to become a Creative Director, and today she still works those long hours.
- Christiane Amanpour—CNN Journalist. Christianne also had to start from the bottom and work her way up. She had almost nothing when she first joined CNN as a foreign desk assistant. She had a bike, a suitcase, and $100. She began in 1983 and today she is a CNN journalist.
- Cindi Leive—Glamour, Editor-in-Chief. Cindi was lucky enough to find a job as an editorial assistant for Glamour magazine in the 1990s. She left to work at Self for a while, and then in 2001 she returned to Glamour. Today she is their editor-in-chief.
- Donna Karan—DKNY. Donna Karan is the fashion designer who started DKNY and Donna Karan New York. She began as an assistant to Anne Klein. Her humor has kept her energized through the years.
- Ursula Burns—Xerox CEO. Ursula started out as an intern and then worked as a personal assistant. She worked her way up to the first African-American women CEO to head a Fortune 500 company in 2009.
- Debbie Wasserman Schultz—Congresswoman. Debbie started as a aide to Congressman Peter Deutsh. Her hard work has paid off and today she is the Florida Congresswoman and DNC Chair.
- Cindy Gallop—Website Advertising Executive. Cindy has worked every hour of every day in theater, even though it earned her peanuts. She now manages the advertising for two entertainment websites.
- Ruth Bader Ginsburg—Supreme Court Justice. Ruth studied law in school while caring for a child and her sick husband. She was denied a clerkship because of her gender, but that didn’t stop her. She went on to research, professorship, and then the Supreme Court.
- Helen Gurley Brown—Cosmopolitan Advertising Executive. Helen started as a secretary at an advertising agency. Her talent was recognized and she went into copyrighting. From there she began a successful career in magazine advertising.
Even though there is an increasing percentage of female entrepreneurs each year, there is still plenty room for growth and for you to join the ranks!
From 2013 census data, 7.8 million women were entrepreneurs, as compared to 27.1 million men. Women aged under 35 are also starting businesses at a more rapid pace then women over 35. In the upcoming years it will be exciting to see the percentages balance out, as more women decide to become their own bosses.
If you’re ready to join the ranks, the first thing you need to learn is personal finance and happily, you’re in a great place to start! How can we help?
Schedule a free 30 minute consultation with Elisabeth and get started today. Just click the popup on the bottom right and let’s get started!
Source: http://thegedi.org/2015-female-entrepreneurship-index-press-release/
by Elisabeth Donati | Jan 30, 2016 | Money and Women, Uncategorized
Feminine kindness comes from a place inside us that is hard-wired to take care of others. It’s what drives the majority of women on the planet.
It’s why in my financial workshops I refer to us as ‘takercareofers’ and why, while many moons ago, we relied on the men in our lives to provide for us so that we could take care of others.
For a very long time, this seemed to work. Heck, it works today in a lot of relationships, married or not.
However, in many circles…especially among younger women, it is considered old-fashioned. This does NOT mean it’s wrong in any way, shape or form. Many women actually still want a traditional relationship where they can take care of their man and their children.
It’s a personal choice…it’s all OK…and you don’t have to feel pressured to be one way or another. Just work it out so you’re living the life YOU want and not the life someone told you you should be living. That’s one of the most important steps to being happy!
Taking Care Of in Real Life
This drive to ‘take care of’ is also what keeps us from asking for raising, asking for what we need in relationships, asking for the sale, charging what we’re really worth for products or services we create of perform.
In many ways, learning about money for many women, doesn’t come naturally or intuitively…especially if you weren’t taught about money at home or in school. (And in my experience, financial education that comes from a parent is usually better and longer-lasting that what used to be taught in schools. Times are changing, however, and students are learning about money and investing in much greater detail these days…a very good thing!)
Many women have said to me in regard to money…
- “I hate money.”
- “I just don’t understand money.”
- “I get stressed just thinking about money, even if I have enough of it.”
- “Financial stress keeps me up at night. I just don’t know how I’m going to make my money stretch.”
- “Money makes me so afraid…I don’t know what to do.”
- “Investing is too complicated. I know too many people who have lost all of their savings.”
- “How do I even start saving when I have all of these expenses?”
…and the list goes on.
You get the picture.
You name it, I’ve heard it…in our Celebrating Women & Wealth workshops and from money coaching clients I have worked with over the years. Women simply struggle with the money in their lives and there is no cut and dry answer to their struggles or solutions to their situation. It’s all a matter of figuring out what you need to learn and change and moving forward one step and one day at a time.
Note: even though my programs are geared towards and for women, men also have these same thoughts and feelings and emotions about money.
Random Acts of Kindness
We all know this phrase. We see it on bumper stickers and posters and stickers. We hear people say it less frequently than we did a few years back when the idea was fresh off the idea train, but it’s still very much present in our culture.
The point is, if you’re a woman, regardless of your financial situation, you’re going to continue doing lots of things for lots of people. Sometimes we do too many things because we’re trying to get approval or need to help boost our self-worth or self-esteem. There are definitely situations where we need to learn to say “no” more often.
But that’s not what I’m referring to here. I’m talking about little things you do that you’re just inspired or compelled to do for someone…and often someone who is a stranger.
These are the things that give me, personally, what I call goose pimples and it’s these times when I’m really aware of my purpose at that time. I saw, I acted, I smiled.
Life is good.
Keep doing what you’re driven to do as a woman (or if you’re a man reading this!) and know that you don’t need to stop being yourself. The world depends on our random acts of feminine kindness in more ways that we can possibly ever know!
by Elisabeth Donati | Jan 24, 2016 | Financial Literacy, Media Attention, Money Camps, Uncategorized, What you can do
Imagine living in a house with electricity and plumbing but no one every showed you how to plug something in or turn on the faucet. You are living in the dark, have no running water to drink, cook with or clean with and you have no idea how to change the situation.
This is exactly what it’s like to live in a world where money is the ‘currency’ that brightens our lives and quenches our thirst for the things we want to experience in life but we have no idea how to use it.
AND, we have no idea how to use it because most of us aren’t TAUGHT how to use money wisely and to our advantage by our parents or at school. Parents often think schools should teach it (primarily because they don’t know how) and schools don’t want to touch the subject because they don’t understand it either. There’s also rarely any time or money to support financial education in schools because they are too busy teaching students boring, irrelevant information that they will never use in their ‘real’ lives. But this is a discussion for a different day.
Why We Aren’t Taught About Money
Why aren’t we taught about money? Oh my, the answer to this question is long and has many chapters but I’ll try to keep this short and simple.
Enter the world I call the Financial Education Conundrum, meaning most of us don’t have a clue why we don’t learn this stuff when we’re young!
Here are some very basic reasons why we aren’t taught about money.
We don’t talk about money
The conundrum starts with the fact that we talk about electricity and plumbing like it’s no big deal but when it comes to talking about money, oh my gosh, we all too often make it a taboo subject that’s somehow different.
But it’s NOT different!
Money is the substance that virtually every human being in every culture on Earth uses every day to pay for the things he or she needs and wants.
Without enough money to pay for the things we need and want, life can be pretty miserable and while some people say that ‘money doesn’t buy happiness’, it sure buys the things we need to keep ourselves safe and sound and to most people, that’s pretty darn happy.
Research does show money actually DOES affect our happiness, up to the point that we have enough money to pay for our basic needs. Above that point and money doesn’t seem to have much of an effect on making us any happier.
We have to get so we can talk about money as easily as we talk about electricity and plumbing but why do we have such trouble talking about money?
Because we make it mean something about ourselves and others that’s just not true.
There’s a say, “Nothing has meaning except the meaning you give it.” This is oh, so true when it comes to money.
Too many human beings grow up thinking that the amount of money we have has something to do with the type of person we are or our ‘value’ to others, but nothing could be further from the truth.
- Having money doesn’t make us a better person.
- Having more doesn’t make us more important.
- Having money doesn’t make us cooler, or sexier or smarter.
- Having money doesn’t mean we can neglect those around us or stockpile it and not use it to do good in the world.
Money is simply tool to reach your dreams.
That’s it. It’s short and simple. Money is a tool…just a screwdriver or a hammer or a food processor. It’s a tool.
Money buys shelter, food, clothing, water, knowledge, transportation, and all of the wonderful experiences we call life.
Having money does come with responsibility…to use i wisely for yourself, your family, your community. Doing good with money is one of the most rewarding experiences in life and those who have a good deal more than others, quickly learn the power of using their extra money to help others. It brings us purpose and satisfaction in life.
The fact is, you wouldn’t let your child grow up without learning how to use a toothbrush, drive a car or swim. Why, then, do we let them grow up without a sound financial education?
It only makes sense to teach children this critically important information when they are young so they can grow up using it correctly and not have to, hopefully, learn about money the hard way by making mistake after mistake that could have been avoided with enough of the right type of financial information when they were young.
Can’t teach what you don’t know
While it may be that a large percentage of parents are financially clueless, that’s not a valid reason to not making sure your children or students are equipped with the financial knowledge they need to be self-reliant as adults. Our government coffers are struggling to keep up with the demand from uneducated, ignorant citizens who don’t have a clue how to handle money. It’s not their fault but it’s not the government’s responsibility to take care of people due to their sheer ignorance about money. It’s just not that hard to learn about money and investing anymore.
There are thousands of books on money and investing, online financial education programs, money magazines, free curriculums for home and school, mentors who are more than willing to help you learn as well ‘money camp’ type programs where kids, teens and adults can learn about money and investing.
Hey, and ya, learning about money and investing can be quite confusing. There’s a lot of contrary opinions about what to do but in my own experience, if you read enough books and you take enough classes and you ask enough questions, you start getting the same answers. THAT’S the information you go with…and what feels right in your gut after you start to understand the wonderful world of money…and it is wonderful.
Are you a parent or teacher who doesn’t have a basic foundation in Money 101? No problem!
Learn right along side your children. They won’t mind that you don’t know. Contrary to popular belief, children don’t expect their parents to be perfect.
The truth is, it’s easier for children to learn that making mistakes is a valuable aspect of life if they see their parents learning and growing also. Thinking you have to look like you have it all together to your children is actually a disservice to them. Kids need to know that adults are still working on figuring this ‘life thing’ out, too, and that life is simply a wonderful journey.
Don’t burden our children with money…WRONG!
This attitude about kids and money is downright dangerous to your children and your community’s children. You are keeping the basic information they need to grow up and live successfully away from them. While it doesn’t seem as harsh as not feeding them or giving them water, if you think about it deeper, you see that it’s incredibly harmful to their overall well-being and future.
What good is social studies, geography, history, math and writing if young adults graduate from high school and college with little to no knowledge of how to use and utilize the money they will hopefully go out and start earning on their own? They are now graduating with tremendous amounts of debt that can’t begin to understand, pay back or cope with and the social ramifications of this situation are tremendous.
Adult children are moving home because they can’t find jobs that will pay them enough to pay back debt, they are committing suicide from the financial pressure and are using drugs and alcohol to try to cope.
This is no way to raise children!
The definition of child abuse, according to Wikipedia and several other sources on the web is “the physical, sexual or emotional maltreatment or neglect of a child or children.”
By neglecting to make sure your children and the children in your community learn about the very substance that makes the world go around, as they say, you are indeed harming the child, sometimes in unimaginable ways.
Just as neglecting to teach a child how babies are made, that sugar causes cavities, that vegetables are important to your health, that wearing a seatbelt may save your life some day, neglecting to teach them how to make and manage money keeps them from living life to the fullest and is absolutely a form of child abuse in my book.
Your primary job as a parent and teacher is to make sure your children and students grow up to be fully functioning, responsible adults who can think through challenges on their own and take care of themselves. Not exposing them to money…the good, bad and the ugly…makes it hard for adult children to really create great lives.
What you can do instead:
- Stop thinking you are burdening your child or students with adult information they can’t handle. We ARE raising adults, right? They have the right to receive the information they need to live well on this Earth and they WANT this information.
- Even if you don’t know what to teach them, start today and teach yourself. There is NO excuse. There is an abundance of free financial education information and videos on the Internet and in the library for you to become an expert on money and investing.
- Involve your children and/or students in topics involving money. Know they are interested and the information will help them more than you know in the future. Even if you think they aren’t paying attention, they are. The point is to get everyone talking about money. Start today!
- Think of ways you can teach everyday topics through the context of money. Money often makes life lessons far more relevant to students.
- Make sure your children get plenty of practice with money. Give them an allowance and then help them budget, save money in a bank and start exploring ways to make that money grow, i.e., invest. We don’t get good at anything without plenty of practice and practice with money is critical if you want your chkids to grow into financially savvy and responsible adults.
- Visit our home page and sign up to receive our free report, The 3 Keys to Raising Money Savvy Adults!
One of the best (and most fun) ways to introduce children to the topic of money is to find youth summer programs that focus on money and investing. Here are a couple of great ideas…
1) Look on line for a money camp. There are many offered around the United States and some internationally. Type the following search terms into Google:
KEYWORDS: money camp, financial camp, millionaire camp, teen money camp, Moving Out for Teens, Camp Millionaire, money game, personal finance camp/class.
You’re sure to find at least one program within driving range. We have many parents bring their children from hundreds of miles away to attend our Camp Millionaire camp. Why? Because it’s worth it to them to know that their children have the tools they need to live successfully on their own after they move away from home.
2) Check your local summer camp locations to see if anyone is offering a camp or class through an already established youth program.
3) Look for a financial advisor or planner who is offering an educational event. While these types of events can be boring and more advanced, you may find one that is basic in nature.
4) Check out your local banks and credit unions. They often offer programs for both kids and adults on basic money management skills.
5) Take a financial education or personal finance class with your older teen.
6) If all else fails, find a financial education curriculum online and teach yourself and your child at home.
7) Lastly, consider hosting a summer financial camp yourself. You can work with us at Creative Wealth or some other organization and make sure your local children get the financial foundation they need.
OK, you don’t have any excuses now for not arming your child or students with the financial knowledge and skills they need to live a happy, healthy life full of the most amazing experiences possible.
It doesn’t matter how you do it…just get it done. Our kids are depending on us. Let’s show the ropes and give them a leg up on living the most awesome life possible!
by Elisabeth Donati | Jan 1, 2016 | Financial Literacy, Latest News, Media Attention, Money Camps, Uncategorized
Santa Barbara, California – Creative Wealth Intl., LLC announces their exciting new women’s financial workshop, Celebrating Women & Wealth, to be held in Santa Barbara, CA, March 12-13, 2016 at the fabulous Fess Parker Resort.
It’s not a secret that many women have a difficult time understanding money in a way that helps them be financially successful. After all, we’re rarely taught about money and investing in school or at home. Fortunately, help is right around the corner.
Creative Wealth, well-known for their unique, eye-opening, highly-effective, fun and engaging youth money camps on all things wealth related, recently announced the kick-off of their new women’s program with a special women’s workshop called, “Celebrating Women & Wealth” for women age 16 and up.
Experts agree, money is one of the most misunderstood substances on the planet, especially among women in a culture that often leaves them at a distinct disadvantage. Here are a few reasons women struggle with money:
- Women live longer than men requiring more money needed for retirement.
- Women’s health-care is often more expensive than men’s and high health care costs often make a huge difference in women’s ability to stay healthy.
- Since 50% of marriages end in divorce, women often wind up raising children on their own with little to no alimony or child support.
- Women lose, on average, 14 years of earning potential due to raising children on one end and taking care of elderly parents on the other.
- Women have a hard time talking about money…they are full of shame embarrassed because they don’t understand it.
The truth is that women, however, are often better investors than men once they learn the ropes. Clearing up confusions about money and creating wealth can quickly transform a woman’s life.
In that spirit, Creative Wealth, a leader in financial literacy education, recently announced this new women’s workshop focused on teaching women a whole new way to think about money…a feminine way. Celebrating Women & Wealth is scheduled for March 12-13, 2016 and will be led by Elisabeth Donati, creator of Camp Millionaire and The Money Game, and Marjean Holden, Actress and International Transformational Trainer. Both instructors are experts in Accelerated Learning Techniques that promise to make the workshop fun and engaging for everyone.
Asked why offer a financial program just for women, Elisabeth Donati, owner of Creative Wealth stated, “Because money means different things to women. We think about it differently and it’s just easier for us to learn about money and investing in a room full of supportive women like ourselves.”
According to Donati, the program will include a look at “The Six M’s of Money” (minding, making, managing, multiplying, mending and mentoring), the art of making peace with money, the critical difference between earning and making money, a simple money management system that really works, a get-out-of-debt fast technique to help reduce cut stress and put women back in control of their money, how to talk to a spouse or child about money, and much more.
Registration is available at www.CelebratingWomenandWealth.com/workshop. Tickets are $50 per seat, scholarships and volunteer positions available. Ages 16 and up are welcome.
Testimonials from past attendees have been quite passionate. D. Allen stated, “It is fabulous to know that I now have the potential to create financial freedom for myself. The skills and habits taught in this workshop gave me hope where I had given up. I believe everything is possible now because of this workshop. Thank you!”
For more information: http://celebratingwomenandwealth.com/workshop.
Workshop flyer available here: http://www.celebratingwomenandwealth.com/downloads/CWW-Event-Flyer-LR.jpg
Contact: Elisabeth Donati at 805-957-1024
freedom@celebratingwomenandwealth.com
www.CelebratingWomenandWealth.com
Hope to see you there!
by Elisabeth Donati | Jun 15, 2015 | Financial Literacy Principles, Uncategorized, What you can do
People work their entire lives to pay off a mortgage, accumulate savings, fund a retirement plan, and to create a financial legacy for their children. Unfortunately, many fail to create a proper Last Will and Testament, leaving children and surviving spouses with mounds of paperwork to sort through after a death. This leaves the courts to decide on how to distribute your assets, which may or may not reflect your wishes. Worse, people often create their Will, but neglect to include exact details on how they wish their estate to be divvied up after their death.
A poorly planned estate can leave some of your beneficiaries out in the cold, despite your best wishes. A divorce can further complicate matters. If you don’t wish your greedy ex to inherit your estate, you’re going to need to update your Will, and avoid any costly mistakes for your heirs.
To avoid estate planning pitfalls it’s best to carefully document your Will, and ensure that a qualified lawyer vets and notarizes it. As you enter your twilight years it’s worth checking every year or so, to ensure it’s up-to-date.
What is Estate Planning?
Estate planning is a process where you connect your assets to the people you love, in the event of your death. Assets may include a house, property, vehicles, jewelry, furs, collectibles, fine art, coins, savings accounts, retirement savings, bonds, and more.
Estate planning is usually done with a Will and/or trust accounts. You can designate to whom your assets will go after you die.
Estate planning is done for your piece of mind, and to properly provide for children in the event of your death.
Here are the top 9 estate planning mistakes people make before they die.
1. Neglecting to make an official Last Will and Testament.
Depending on which state you live, a Will found in a shoebox in the closet may or may not be a valid document in the event of your death. Even worse is having no Will at all. Failure to create a Will will place your successors in a bad position. Your estate could be tied up in the courts for years, or worse, your beneficiaries may not get what you want them to inherit. If you have young children they may be left without the support they need, while the courts decide how to divvy up your assets.
There are many books and software programs to help you get started with writing your Will. You simply type in your wishes and print out the document. This document needs to be taken to a lawyer to be vetted and then signed, and notarized. A notarized Will is considered an official document. A lawyer can assist you with wording and ensure that your chosen beneficiaries inherit exactly what you wish. You may not wish to rely entirely on a tax package, particularly if you feel that your estate planning might be complicated.
One copy of your Will should be kept with your lawyer, one with an Executor, and one in a safety deposit box. This will prevent any disputes in the event that one of them goes missing, and a relative tries to pass off an older Will as the most recent.
2. Failing to designate a Power of Attorney.
Whether you fail to designate a Power of Attorney, or you choose the wrong person, you’re failing to have a trusted person at hand who will handle your finances, and manage your accounts if you become disabled. It doesn’t matter whether it’s a mental or a physical disability–as you get older you may need help managing your affairs. Unfortunately, too often an unscrupulous relative can offer their services, and before you know it, the money is gone.
Many people may wonder what designating a Power of Attorney has to do with them in the event of death. If you fail to choose the right person, there may be no estate left to manage upon your death. In the event you become disabled, you need a capable and trustworthy person to manage your finances. This means designating a trusted Power of Attorney in advance, before you lose your mental faculties. A trusted Power of Attorney will ensure your bills are paid, ensure you have the care you need, and that your lodging is secured.
3. Leaving your individual retirement account to your estate.
If you choose to leave an IRA to your estate it will be subject to probate, along with your house, assets, and any other types of savings. If there’s any money left in the IRA after debtors have been paid, it will go to your heirs. Many people think that it doesn’t matter after they’re gone, but if you’re leaving survivors behind, possibly a spouse or young children, ensuring that they can make the most of your assets in their time of need is paramount.
To get maximum funds from an IRA, it should have a designated beneficiary set up in advance. In the event of your death funds are immediately transferred to your beneficiary, and will not have to go through probate. This can potentially save a lot of money.
4. Not updating beneficiaries.
If you set up your Will several years ago, your beneficiaries may not be current. In the event of divorce or death in the family, past beneficiaries should be removed from your IRA or Will. This is also applicable to new births in the family. Keep your documents up to date to avoid disappointment or disputes within the family. You’ll also want your children to be adequately provided for, should something happen to you.
The best time to review your Will is at tax time. Consider whether you have new family members, including foster or adoptive children you wish to include.
5. Not following through with trusts.
A trust can enable you to transfer some of your assets to a family member. but it’s a two-step process. You need to actually fund it. If you merely set up the trust, but don’t fund it, in the event of your death, your beneficiary may receive nothing. As soon as you set up a trust, you need to set up funding as well. Your assets will need to be retitled under the name of the trust. Don’t assume it’s done by merely listing assets that should be going to each family member.
6. Liquidating assets that are in the Will.
If you’ve decided to sell your house, or prized coin collection, but neglect to remove these assets from your Will, you’ve going to create turmoil during the probate of your estate. Many state laws will require the Executor of the Will to replace possessions designated to a beneficiary in the Will, unless the beneficiary is in agreement that they receive nothing. Property assets that no longer exist can tie up probate for several months while this matter is investigated.
In order to avoid disputes upon your death, your Will should be regularly updated. Assets that no longer exist should be removed from the Will. You may also wish to add assets if you have made any valuable acquisitions in the past year or so, such as property, vehicles, collectibles, time share plans, jewelry, etc.
7. Failure to note beneficiary specifics.
If you’re hoping that one child receives all your jewelry, while another receives your antique furniture, and for both of them to be in agreement, don’t. Family squabbles frequently happen after a mother or father has died. Parents just assume that children will get along, and be able to divvy up belongings like adults, forgetting that they may act like children where possessions, or money, is concerned.
If you have your heart set on leaving one child all your jewelry, or fine art, vehicles, or any other types of financial assets, be sure their name is clearly spelled out in the Will. Your other child cannot dispute what is part of a legal document. When your wishes are set out in a notarized legal document your children must obey your wishes. Having clear designated beneficiaries is also applicable to life insurance plans, retirement savings, and any other type of account where you can designate a beneficiary.
8. Using ambiguous legal phrasing.
Many people write certain ambiguous phrases into their wills such as “assets to be divided equally among survivors”, or “left to the discretion of the executor”. These phrases are open to misinterpretation, and may not even pass probate. It can leave your family open to disputes and squabbles that can lead to court battles. It can be baffling why a lawyer would endorse ambiguous wording, but the power is in the estate planner’s hands. An executor will do their best to follow their wishes. A will gives an executor the power to use their discretion. It takes a criminal act to displace an executor. Good-faith acts will never displace them. If your executor is someone you trust implicitly, it’s worth being more specific in your Will.
9. Not communicating your wishes to family.
Many people are uncomfortable discussing their Will with the family. But there is nothing wrong with giving them a heads up about your assets. If your only child is going to inherit the family home, that may give them the security of knowing that it’s going to stay in the family.
Other reasons to communicate with your family may involve records and papers for certain assets. You may wish your family to know where to find the deed to the house, or information about a life insurance plan. Perhaps you have a large collection of valuable coins hidden in your home. Notify a trusted member of your family, so that these valuables can be found in the event of your death.
After someone dies, it can be chaotic for family members to sort the house, go through their parent’s stuff, and toss or donate items. Often many valuables are overlooked. You don’t want your son to discover after the fact that there was an insurance policy, but now it’s too late for them to collect. Or perhaps the deed to the house is needed for a property transfer. Hunting down records will slow down the probate process. It can still be done, but more slowly. Other items to make your family aware of are safety deposit boxes and keys, vehicle registrations, and out of state property.
Prevent disaster by informing your loved ones about where your important documents are kept. Further advice about avoiding estate planning pitfalls may be obtained from your lawyer. Anything to do with passing down houses, property and vehicle transfers, investments, and other asset distribution can vary state by state. State laws can vary widely, so don’t assume that one state will follow the laws of the state you came from. If your heart is adamant on who inherits what in your family, and you wish to prevent disputes, the more care and detail you place into your estate planning is only going to benefit your family.
You may wish to create a current list of your assets, and update it once a year. This will enable the executor of your estate to find everything they need to manage your estate. Notify your lawyer or executor where this list may be found, in safety box, or otherwise.
Start Your Estate Planning Today
Create your Last Will and Testament sooner, rather than later. Ensuring that your family will have the support and financial care they need upon the event of your death will be one last checkmark to make on your bucket list. And once it’s done you can breath a huge sigh of relief. It’s done, and all you have to do is have a once-a-year review of your estate.
Sources:
http://www.bankrate.com/finance/retirement/estate-planning-mistakes-to-avoid-2.aspx
http://www.forbes.com/sites/robclarfeld/2012/04/25/7-major-errors-in-estate-planning/
