{"id":7511,"date":"2019-05-13T08:05:27","date_gmt":"2019-05-13T12:05:27","guid":{"rendered":"https:\/\/kerryhannon.com\/?p=7511"},"modified":"2019-05-13T08:06:22","modified_gmt":"2019-05-13T12:06:22","slug":"jean-chatzkys-money-tips-for-women-over-50","status":"publish","type":"post","link":"https:\/\/kerryhannon.com\/?p=7511","title":{"rendered":"Jean Chatzky\u2019s Money Tips for Women"},"content":{"rendered":"\n

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A chat with the Today money guru and author of ‘Women with Money’<\/h2>\n\n\n\n

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\"Jean<\/figure>\n\n\n\n

Credit: Sandra Wong Geroux;<\/em>Jean Chatzky, Author<\/p>\n\n\n\n

\u201cThere\u2019s no stopping this train,\u201d Jean Chatzky, financial editor of NBC\u2019s The Today Show<\/em>, writes in her new book, Women with Money: The Judgment-Free Guide to Creating the Joyful, Less Stressed, Purposeful (and, Yes, Rich) Life You Deserve<\/em>. (It covers everything from the emotions of money to investing in real estate to leaving a legacy.) By 2028, Chatzky notes, women will control 75% of discretionary spending around the world and by 2030, 66% of America\u2019s wealth.<\/p>\n\n\n\n

\"Women<\/figure><\/div>\n\n\n\n

But women need a different money playbook than men, Chatzky has concluded from her research and decades of professional and personal experience. \u201cWomen view money through a different sort of lens,\u201d Chatzky writes. I just spoke with her to delve into this notion and to hear more about her money tips, especially for women 50+, as you\u2019ll see below. (Chatzky\u2019s 54, as she notes in what she calls her most personal money book; she\u2019s written nine others.)<\/p>\n\n\n\n

Here\u2019s the nut of Chatzky\u2019s argument, which I wholeheartedly agree with: \u201cFirst and foremost, for us, the life we want to create is the target, while money is the tool that helps us achieve it. For many men, it is the other way around.\u201d<\/p>\n\n\n\n

But, she adds, \u201cMany of us [women] don\u2019t feel knowledgeable enough to run our financial lives with both confidence and conviction. <\/p>\n\n\n\n

Read on <\/strong>PBS Next Avenue<\/strong><\/a>.<\/strong><\/p>\n\n\n\n

Too many of us still prefer to sweep all things financial under the rug.\u201d To address this, Chatzky launched HerMoney Media and HerMoney.com<\/a> in 2018.<\/p>\n\n\n\n

Here\u2019s what Chatzky told me about her mission to empower women to take control of their financial lives <\/a>and how she thinks they can do it (full disclosure: I\u2019ve known Chatzky for years and she endorsed my book, What\u2019s Next?<\/em> several years ago):<\/p>\n\n\n\n

Kerry Hannon: Why did you write this book now? What\u2019s changed in the decade since you wrote Make Money, Not Excuses: Wake Up, Take Charge, and Overcome Your Financial Fears Forever?<\/em><\/strong><\/p>\n\n\n\n

Jean Chatzky:<\/strong> In terms of demographics, there is more money in the hands of women. And when you look at education and inheritance, those things are both moving very quickly, as opposed to how fast the salary gap<\/a> will close, according to current projections.<\/p>\n\n\n\n

But the other thing that made me want to come back to women and money is that what I am hearing from women through Hermoney.com and through my podcast is this desire to take control. In particular, to wrap their arms around investments.<\/p>\n\n\n\n

What does this book mean to you and your daughter and stepdaughter?<\/strong><\/p>\n\n\n\n

It\u2019s about embracing the power that we have and the power that is coming our way. I want my daughter and my stepdaughter, and my daughter-in-law, to grow up in a world where they have control of their money and they aren\u2019t feeling challenged to take control.<\/p>\n\n\n\n

For me, the journey to control was a long time coming. I didn\u2019t necessarily feel confident, and I hope they get there a lot sooner than I did.<\/p>\n\n\n\n

What do you think is the biggest stumbling block today for women when it comes to managing their money?<\/strong><\/p>\n\n\n\n

It is still confidence when it comes to investing, and there is insatiable need for safety and security. There is no doubt in my mind that it is absolutely a need.<\/p>\n\n\n\n

Financially, all too often, there is too much cash in the bank and not enough money in the market<\/a>working in a way to stay ahead of taxes and inflation.<\/p>\n\n\n\n

Why is it still so difficult for women to talk about money?<\/strong><\/p>\n\n\n\n

What we have been doing with these HerMoney Happy Hours [gatherings of women to talk frankly about money] is putting women together in a safe space. What we have found in doing that is that it is incredibly freeing and liberating and fun. Women want to participate in a space like that.<\/p>\n\n\n\n

And so I almost think we are going to need to do it in that way for a while \u2014 at least for women in our generation who have grown up being uncomfortable talking about money. Millennials are different. Millennials<\/a> are more comfortable talking about money and salary. I think it is a product of the fact that so many of them have student debt. When the majority of people you know have a lot of debt, there is no shame, or blame, attached to that debt because you came to it to get your education.<\/p>\n\n\n\n

What\u2019s your best advice for couples when it comes to holding joint bank accounts<\/a>?<\/strong><\/p>\n\n\n\n

You have to figure out what works for you and your spouse and tune out the noise. I have in the book a lot of different ways couples have approached money that works for them. They are all fine. As long as you and your spouse agree than no one else\u2019s opinion is relevant.<\/p>\n\n\n\n

You have a chapter called The Joy of Spending. What\u2019s your best counsel when it comes to spending?<\/strong><\/p>\n\n\n\n

I think if you are not sure where spending lines up with your joy, then it\u2019s helpful to track your spending and take a look at which expenses you feel good about and which expenses you regret. That will give you a window into what you value.<\/p>\n\n\n\n

That\u2019s the important thing. Figuring out a way to line up your spending with what you truly enjoy and wipe the ones that you wish you had not made out of your day-to-day experience.<\/p>\n\n\n\n

What\u2019s your best guidance on parents giving money to their grown children?<\/strong><\/p>\n\n\n\n

Sometimes our kids need a hand. But it is important to telegraph what you\u2019re doing and why you are doing it, so that everybody understands it, and so it doesn\u2019t go on forever.<\/p>\n\n\n\n

Many of us have had the experience with grown kids where they need a reset in life and a financial hand in order to accomplish that. I don\u2019t think there is a problem with parents, who have the money, helping with that sort of thing.<\/p>\n\n\n\n

The problem comes when you are sabotaging your own future, in which case you have to say: \u2018I\u2019m sorry, but I can\u2019t afford to do this for you right now. But I can sit down and help you try to figure out a way to do it yourself.\u2019<\/p>\n\n\n\n

In your book, you write about caregiving for your mother and stepfather. What is your take on caring for older parents?<\/strong><\/p>\n\n\n\n

The key is knowing what is coming your way in terms of financial responsibility. Unlike borrowing for student loans or deferring retirement, when our parents need help financially, they don\u2019t have another source of income.<\/p>\n\n\n\n

But what we can try to do is to prevent it, by having conversations about money at a time that is not in the middle of an event that has any other tensions around it.<\/p>\n\n\n\n

What was the biggest stumbling block for you to taking control of your money life?<\/strong><\/p>\n\n\n\n

Investing, in and of itself, was not such a hurdle for me, but risk<\/em><\/a> was. I always had to push myself with my asset allocation to get myself to a place where it was appropriate for my age and risk tolerance.<\/p>\n\n\n\n

What money mistakes have you made?<\/strong><\/p>\n\n\n\n

I think I have made them all. Most of them when I was young and was able to learn from them.<\/p>\n\n\n\n

I really feel I didn\u2019t come into my own financially until I got divorced around age 40. That kicked me into higher financial gear. I wish I had done it a decade earlier \u2014 not get divorced, but get in high gear.<\/p>\n\n\n\n

What\u2019s your biggest takeaway for women after writing from this book?<\/strong><\/p>\n\n\n\n

Pay attention. Even if it is uncomfortable, open yourself up to talking more about money. When you really talk more about it, you can take some of the emotion out of it and it becomes more a tool to help you get the life that you want.<\/p>\n\n\n\n