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What financial challenges do women face?
- The wage gap: Women often navigate a financial landscape then men. For instance, women with a bachelor’s degree earn approximately 86 cents for every dollar earned by men¹. This wage gap affects everything from day-to-day budgeting to retirement savings. It’s one of the major drivers behind the need to strengthen financial literacy for women and their long-term planning. Over a lifetime, the gap adds up, potentially costing women hundreds of thousands of dollars in lost earnings and reduced retirement contributions.
- Longer life expectancy: On average, women live 4.4 years longer than men². That means more years to fund, a higher likelihood of managing finances alone, and increased healthcare costs later in life. Because women live longer, they tend to spend more on prescription drugs, dental care and long-term care – services provincial plans don’t fully cover. Women are also more likely to need extended care services. Early retirement planning for women helps ensure you’re prepared for the future.
- Household responsibilities: Women often carry a larger share of the day-to-day planning at home, including appointments, childcare, household logistics, and upkeep. For women with caregiving responsibilities, the financial and emotional load can be especially heavy. With so many responsibilities competing for attention, personal finances can easily fall to the bottom of the list. That’s why financial delegation is so common. But handing off decisions about money doesn’t mean you’re not interested or capable, it usually just means you’re stretched thin. Revisiting the distribution of labour on the home front will allow you to stay involved in money matters and ensure your financial goals remain a priority.
- Life transitions: Divorce, widowhood, job loss, retirement, or even receiving an inheritance can reshape your financial picture at times when you’re already feeling off-balance. An advisor who understands both the emotional and technical sides of these transitions can make navigating them far easier.
Good to know : One common misconception is that you need significant wealth before working with a financial advisor. In reality, advisors support clients at all income levels. Starting early, even with modest assets, can lead to stronger long-term outcomes.
Why should women take charge of their finances?
- To secure the future and support loved ones: Many women reach retirement wishing they had gotten involved in their finances earlier. The sooner you start, the easier it becomes to build habits that support long-term security. However, it’s never too late: each small step strengthens your financial foundation and gives you more long-term options.
- To prepare for independent decision-making: Because women typically live longer than their male partners, many may end up managing their finances and estate on their own. Facing post-retirement life solo can feel overwhelming if you’re not prepared. More than half of Canadian women report wishing they understood more about financial matters³. Becoming involved now supports your financial independence and helps you make decisions that reflect your goals.
- To be involved the decision-making process: Despite real progress toward equality, many women still delegate major financial decisions to their partners. The intent is often practical, but it also means you lose visibility into choices that shape your life. Financial roles are often set early and reinforced over time. Conversations regarding money have historically been directed toward men, leaving many women feeling sidelined. Stepping in can seem like a big leap, but it’s a leap you’re fully capable of making.
Good to know : Some women hesitate to get involved in financial matters because they worry about asking questions that seem too basic or reveal gaps in knowledge. A good advisor will welcome all inquiries. They understand that providing clarification and support is part of the job.
How can women overcome barriers to financial independence?
Find the right financial advisor: You and your family’s financial wellbeing depends on you feeling secure in your financial decisions. The Canadian Investment Regulatory Organization recently published research⁴ stating that just 47% of women report feeling confident about investing (compared with 66% of men). When women do invest, they tend to be cautious: 27% of women report having a very low risk tolerance versus 16% of men. Recognizing where you are positioned on this spectrum will help you find a financial advisor who understands your priorities.
What should women expect from a financial planner?
Regular communication: You can expect to meet with an advisor a few times a year – more often when you’re starting out or going through major life changes, then less often once your plan is established.
Transparency: You’ll get the most out of your meetings if you come prepared to share information tied to your income, accounts, debts, and any major goals or changes ahead. The clearer the picture, the more tailored and effective your plan will be.
Collaboration: The best advisor-advisee relationships involve teamwork. You should leave meetings understanding the reasoning behind every recommendation and feeling confident about next steps. The right advisor will make you feel heard, respected, and confident about making your own financial decisions.
What is the best way for women to start their financial journey?
Identifying priorities as a family: Start with an open discussion with your spouse or partner. Take the time to review your individual, couple, and family goals. There’s no need for anyone to be left out of financial decisions – you have the skills and resources necessary to make informed choices.
Carving out the time: Asking questions when they arise and devoting blocks of time to educating yourself will boost your financial literacy. Improving financial literacy is one of the most effective ways to feel more comfortable with wealth management. You’ll then gain the confidence you need to make decisions that support your goals and the people who depend on you.
Remaining curious: As your earning power grows, staying interested in your finances can set the stage for long-term security. If you’re already further along in your career, it’s not too late to start.
Good to know : There’s a growing amount of accessible resources tailored for women. Explore National Bank's practical tips and tools that focus on building financial confidence, encouraging women to take an active role in decision-making and long-term planning. Take control of your financial future.
Connecting with a financial planner can turn general goals into a structured, achievable plan. A good advisor brings their expertise to a collaborative process. Your values, priorities, and timeline shape every decision. Beginning that partnership as soon as possible lays the groundwork for your long-term stability, confidence, and financial wellness.