Women In Business

Women in business face challenges that are different from their male counterparts.

Sustainable wealth and success for women is impacted by a multitude of factors:

  • Gender does matter in retirement planning.
  • Longer life expectancies create unique challenges.
  • Older women are twice as likely to be single as men.
  • Older women have a higher need for additional financial resources to cover long-term care expenses compared to their counterparts. According to the Society of Actuaries 2005 Retirement Risk Survey almost two-thirds of people drastically underestimate the capital needed to sustain them throughout retirement.
  • Affordable long term health care commands more attention as social programs are scaled back and health care costs continually outpace all other benchmarks.
  • General physical health decline associated with aging and longevity will adversely impact women in ways generally not experienced by the majority of men.
  • Caring for children or other family members often falls to older women.

Risk management cannot be emphasized enough as women become financially successful. Partnerships (both business and personal) change and with this your net worth which you’ve spent years building can unexpectedly be put at risk.

The issues mentioned above do not begin to encompass all the concerns women in business need to be aware of; however, the ones discussed affect women in unique ways and allowances must be interwoven into the fabric of the planning process.

Some common financial strategic planning issues women need to evaluate because of their long-term their impact and consequences:

  • Why you need to get serious about minimizing your tax obligation by 40% to 50% depending on the state? If your CPA was capable of solving this dilemma for you, they would have already done so.
  • How to increase the horse power of your retirement plan by up to$350,000 a year in new tax deductions that you didn’t know were available? The benefit of investing in a tax smart environment with compound growth should not be missed.
  • How to structure finances to ensure you are better off financially than your employeesYou’ve worked hard, gambled on yourself, taken care of your employees, yet monetarily you’re no better off after years or decades of effort. There are ways to create carve-out benefits especially for you.
  • Why the structure of the purchase or sale of your business can mean the difference of a million dollars or more to you. Strategies need to precede the listing of property or businesses to retain capital otherwise lost in conventional arrangements.
  • Why as an owner you should structure your business into two, perhaps three entity structures and which type?  The simple aspect of choosing an LLC over an S company or C corporation should be more than a casual consideration. There are various tax consequences and corresponding opportunities that can add or diminish benefits or protect and shelter assets. How you choose to utilize entity structures to their fullest financial advantage will largely be determined once you understand the type of strategies which will accelerate wealth accumulation.
  • What is the significance of buy-sell agreement or identification of multiple owners? This is especially important to women where multiple owners or spouses/life partners are concerned.
  • Why are the environments that you invest and accumulate your wealth in as or more important than the rate of return? Women on average outlive men by ten to fifteen years. Investing in a tax smart environment can substantially increase the capital available for women’s extended retirement needs.
  • How you can structure benefits for yourself and your employees on a tax deductible basis and how this dramatically changes your profitability. This is all about working smarter, not harder. It’s time your money should work as hard for you as you did earning it.
  • Why your CPA has been unable to satisfactorily reduce your tax obligation?Jurisdictional and licensing restrictions prevent CPAs from offering strategic opportunities that you are missing out on.
  • Why you shouldn’t include real estate in retirement plans? The answer has nothing to do with real estate values.
  • What are the risks of using your CPA as a gatekeeper of information and opportunities? What are their limitations? Since the enactment of the Small Business and Work Opportunity Act in 2007 your CPA can no longer be your financial advocate.
  • How divorce and anticipating the possibility of divorce could affect your business, your future, and your retirement? How to avoid irreversible financial disaster. Without adequate protection everything you have financially accomplished can disappear overnight.
  • Why consider investing internationally to ensure diversification and capture world returns? This can be as simple as moving your funded pension plan or other investments into international accounts with full disclosure. How international opportunities minimize the court’s ability to access or liquidate your investments especially in light of TARP in 2008 which empowers the Secretary of the Treasury with the authority to deem all financial institutions as agent of the federal government. In plain English in a time of crisis they can confiscate all financial assets and presumably give us back an IOU.

For general business owner issues click on: Consulting Services for Business Owners

To discuss comprehensive financial strategies to enhance your future prosperity through wealth creation, preservation, and growth for your benefit and financial gain addressing your unique challenges, call Bill at 425-743-1291 or complete the Contact Us form. 

 

Here are some of the articles you might enjoy…

Retirement Realities

Owner Benefit Pension Plan

International Investing

Entity Structures

Sale or Purchase of a Business

Divorce Insurance

US & Global Financial Issues

Privacy

Practice Management

Other Considerations