Nine out of 10 women manage their finances alone at some point in their lives, according to U.S. Department of Labor statistics. With some thoughtful financial planning and discipline today, you can look forward to a more secure tomorrow.

The headline, and the media attention that followed it, were hard to ignore: “Fifty-One Percent of Women Are Now Living Without Spouse,” the New York Times announced in a Jan. 16, 2007 front-page story.

From an analysis of U.S. Census data, the Times reported that women living with unmarried partners, marrying later, delaying remarriage after divorce, and living longer as widows contributed to a 2005 statistical shift in which married couples for the first time became the minority of U.S. households. Much of the discussion following the Times report focused on the social implications of this new trend. But equally important are the financial implications, as the findings support U.S. Department of Labor estimates that nine out of 10 women manage their finances alone at some point in their lives.

The Financial Challenges Women Face

Women face particular challenges to a secure financial future. For example, although the historical gender gap in earnings is steadily narrowing, women earn 81 cents, on average, to every dollar men earn. Women typically work fewer years than men, having extended career interruptions for reasons ranging from maternity leave to parental care to relocation for a spouse’s job. Because many women are employed in part-time work and by non-profit institutions, less than half participate in pension plans, which are not likely to provide enough money for retirement. And because women’s life expectancy averages 80 years, compared to 75 for men, their financial resources must last significantly longer than men’s.

The Opportunities Women Can Enjoy

Despite the challenges, women enjoy increasingly greater opportunities for financial success. More than 60 percent of women are employed today, and the number earning $100,000 or more per year has quadrupled in the past decade. Women’s job tenure is steadily lengthening, and women are increasingly participating in employment-based retirement plans. Women make or influence 80 percent of consumer purchases — from everyday household items to home electronics, home improvements and automobiles — and they account for half of all stock market investors. Perhaps most significantly, women are expected to control $1 trillion, or 60 percent of America’s wealth, by 2010. Two Keys to Enhancing Financial Well-Being To face their financial challenges and make the most of their opportunities, women — whether single or with a significant other — must take responsibility for their financial well-being, says Barb Eikmeier, a First Command Financial Advisor based in Carlisle, Pennsylvania. “For women, financial security is a significant contributor to quality of life,” Eikmeier says.

“And with some thoughtful financial planning and disciplined financial management — the two keys to financial well-being — women can pursue the quality of life they desire for themselves and their families.” For couples, collaborating on a financial plan is essential, Eikmeier says.“Although investments, insurance and other financial products are themselves ‘gender-neutral,’ our attitudes toward money are not,” Eikmeier says. “So collaborating on decisions can help both a woman and her spouse clearly define and agree on their family financial goals. And with an understanding of her financial picture, a woman will be better prepared to manage her finances alone, should her life circumstances change.” Disciplined financial management is the “follow-through” that can help make a financial plan successful, Eikmeier says, noting that some time-tested, common-sense principles can support both immediate financial needs and long-term goals. “It may sound trite, but ‘pay yourself first’ is timeless advice,” she says. “Living within a budget that dedicates a portion of your income to saving and investing is an important first step. “Managing ‘acceptable’ debt such as a mortgage or auto loan wisely and avoiding high credit card debt is critical, because so many people deprive themselves of opportunities to save and invest by getting trapped in debt. “And while it may not be as exciting as watching your nest egg grow, having appropriate insurance for your circumstances can help you be prepared for unexpected expenses and events that can threaten your financial well-being.” A qualified financial advisor can help develop a plan for pursuing one’s financial goals, Eikmeier notes, and can provide the continuing advice and motivation to help follow through on the plan.

Diverse Women, a Common Thread

As women assume an ever-greater role in today’s economy, assuming responsibility for their financial well-being must become a greater priority as well. To reinforce this message and provide helpful information, First Command has created a number of new resources available online and through Advisor offices (see sidebar story). The good news is that women are ideally suited to plan for the future and follow through, Eikmeier says, thanks to some common characteristics and tendencies. “Women tend to seek more information and are more deliberate in their decision-making. But they also tend to be more loyal to their investments, making them good long-term investors. And women recognize a responsibility to share what they’ve learned with other women, which is helpful to the growing number of women contributing to today’s economy as well as their daughters and others in the next generation.”

Every woman is unique, though, Eikmeier acknowledges — as unique as her personality, occupation, age, financial situation and life circumstances. And whether single or married, in her 20s or 50s, a business professional or stay-at-home mom, a woman’s financial well-being is not only her responsibility, but vital to her quality of life. New Web Pages, Newsletter, Presentation Offer Insights Into Financial Perspectives of Women First Command has created several new resources devoted to the special financial perspectives of women. A new Web micro-site, my life.firstcommand.com, explores the financial challenges and opportunities of women in various life circumstances. Pages titled “Single and Starting Out,” “Building a Life Together,” “Independent After Divorce or Loss,” and “Approaching or Living in Retirement” offer perspectives on various common financial situations. Additional pages explain the components of a financial plan and the important role a Financial Advisor plays in helping individuals pursue their financial goals and dreams. Visitors to mylife.firstcommand.com can subscribe to “My Money, My Life,” a free monthly e-newsletter. Timely articles, a reader poll and other features provide insights into women’s goals and attitudes toward money management. First Command Financial Advisors also offer a new resource for women, “Don’t Stop Thinking About Tomorrow,” a fast-paced, informative and entertaining presentation that looks into the unique financial circumstances of four women in different life circumstances and provides viewers the opportunity to suggest solutions for each.