Women Lack Financial Confidence, But Not Resolve

Women Lack Financial Confidence, But Not Resolve

In a recent survey, TD Ameritrade found that an increasing amount of women are resolving to meet their financial goals in 2011.

New Year’s Resolutions Revolve Around Saving

When asked about their New Year’s resolutions for the upcoming year, 68% of women said that saving more money is a primary goal (no news yet on carbohydrate consumption). Over half of the women surveyed expressed their financial outlook for 2011 as “uncertain, but hopeful the economy is on the rebound.” Relatively few of these women—27%, to be exact—are confident that they can make consistent contributions to their IRAs.

The Men Are More Confident

Amid all of these percentages, something caught our eye: the disparity between men and women surveyed. Remember those 27% of women who aren’t worried about IRA contributions? Compare that to 39% of men. When it comes to feeling in a better financial situation for 2011, 29% of women are there…along with 50% of men. Note that neither of these situations are cold, hard fact—instead, they’re based on perception. Women perceive that their financial situations haven't improved, and they worry that they won’t cover their IRA contributions. A smaller fraction of men share those concerns. Is this because women are, in fact, in a more precarious financial situation and unable to master their finances? No…but they think they are.

Women Aren’t So Far Behind

From the press release:

Women are in a much better position than they realize,” said Nicole Sherrod, managing director, TD Ameritrade. Their saving behaviors show that they are on the right track. The next step is for them to take that same financial mindset and take action in their long-term savings and investments.

Much like a stern sit-down from the guidance counselor does little to build confidence in a teenage girl, some data and earnest words won’t do it for an adult woman. But consider this: According to the survey data, women are optimistic about the economy. They’re thinking about saving. They’re resolving to meet their financial goals. If achievement begins with resolution, then the majority are headed in the right direction.

The question is, where are you headed?

Tell us in the comments: Why do you think women often have so little confidence when it comes to money?


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