The only thing worse than being alone is being alone and unable to take care of yourself. Eighty five percent of women outlive their male partners who die when the women are at an average age of 56, but the median income for women over the age of 65 in the late nineties, was only $6,300 annually. And divorce often takes its toll earlier in more than 1 million households annually with the average divorced woman being 33 years of age.

Because of these frightening statistics, you should become involved in planning your financial future immediately. You can't afford to sit back and leave the planning to someone else who might not be around later. You need to set financial goals with risk tolerance and taxation factors in mind to determine how much of your current and future income can be allocated to meet their goals. You should act on this investment plan rather than take the easy way out and "put it off until tomorrow".

Although investment "mixes" vary with the times and according to the market conditions, there are some things that will help get your the financial house in order:

1) Set up a filing system for the family income and expenses. List all savings accounts and other investments. Keep records of all brokerage and investment accounts.

2) Make sure that all important documents are and papers are placed where everyone can find them...and keep copies in a safety deposit box. And list all policy numbers, companies, and other relevant information about your important papers.

3) Verify the status of pension, IRA, cash value of insurance, social security every year.

4) Have a will and a Health Care Power of Attorney prepared...and review it every two years or upon the happening of an event that changes your status.

5) Keep three to six months expenses available in an account so that it will be available in an emergency. Make sure that all accounts are "joint and survivor accounts" so that upon death, the funds will not pass through the decedent's estate.

6) Real estate? Joint title with right of survivorship might help avoid the home in which you might want to live being tied up in the estate process.

7) Try to place 10 to 15% of each salary check into savings.

8) If you don't understand something, DON'T BE AFRAID TO ASK

© 1997-2003 Flying Solo