International Women’s Day – Reclaiming your financial self

I find this gap intriguing. Because if we listen to the way women talk about money today, across social media, office floors and the dinner table, something is clearly shifting. 

Women are speaking about money more openly. There’s a growing exchange of ideas, recommendations and mutual empowerment between women. And that’s the spirit behind the idea of “reclaiming your financial self” this International Women’s Day. 

Women aren’t looking for anyone else to speak for them financially anymore. Most of the women I meet as an investment manager simply want the confidence and the tools to “get on with’’ growing and protecting the wealth in their lives.

What does “reclaiming your financial self” mean?

For many women, low financial confidence stems from a history of being shut out and sidelined. Early  in my career, it was commonplace for the man in the family to lead on financial decisions. Alone, they often set the financial course for their family and managed all things associated. That was how things were done back then. But it really isn’t ancient history. Until only recently, in the 1970s, women in the UK generally couldn’t take out credit or a mortgage in their own name. 

Seen in this light, it’s no surprise that financial confidence hasn’t always come naturally. 

For us at Charles Stanley, reclaiming your financial self simply means deciding that your wealth and financial future is something you’re going to take control over. It’s about deciding that understanding your money – how it works, where it’s invested and what it’s doing for you – is something you’re fully entitled to take ownership of.

How to get control back

As a woman with wealth, if your goal is to create security for yourself and your family, you should have no qualms about growing and protecting your wealth with clarity and conviction. 

A good starting point is simply setting aside time to review your finances. A wealth manager can help you understand what you have, how it’s invested, and what it’s meant to achieve. This might mean reviewing pensions, checking investment accounts, or thinking more clearly about longer-term plans like retirement or helping children in the future. 

Another surprisingly powerful step is talking about money more openly. 

Whether that’s with friends, family, colleagues or a financial planner, financial topics are easier to make sense of once they’re out in the open. Very quickly you discover that other women are asking similar questions and figuring things out too.

Our Wealth Insights guide on the taboo of talking about money has some practical tips for approaching any difficult conversations you may need to have with family about this:

1. Pick your moment. Raising financial concerns in the middle of an argument or at the end of a long day is an argument waiting to happen. Set aside time specifically for the conversation.
2. Be honest about why you want things to change. Instead of saying something has been done wrong, you might say, “I’ve realised I don’t fully understand our finances, and I’d like to change that.”
3. Frame the conversation around shared goals like security, retirement timing, and children’s futures. So, rather than saying “I feel shut out”, you might say: “I’d like us to look at our long-term plan together, so I fully understand where we stand.” 

If you’re in a relationship, asking to meet your financial planner together, requesting a clear explanation of your financial plan and asking more questions are all healthy steps. 

The gender pay gap and career breaks

Whilst more and more women reclaim their financial independence, the barriers are still prevalent everyday. In business, for example, senior finance roles remain heavily male dominated. To this day, only a quarter of FTSE 100 CFOs  are women. 

ONS data continues to show a measurable gender pay gap, particularly during mid-career years when, for a lot of women, childcare responsibilities peak. A big part of the problem is that the compound effect over time can turn relatively small pay differences into large gaps. 

For example, a £3,000 annual salary gap over ten years doesn’t just represent £30,000 in lost pay. It also means lower pension contributions – money that could’ve benefitted from further investment growth. Career breaks can put a stop to pension contributions altogether. Without active planning, this can leave women short later in retirement. 

If you’re negotiating a salary – whether for a new role or your current one – preparation helps enormously. Know the market rate for your position and understand what peers in similar roles are earning. Give yourself credit for the value you bring and anchor that clearly to your salary expectations. This keeps the focus on you and your value, so bias has less room to creep in. 

If you’re preparing for maternity leave, it’s worth checking whether your employer offers enhanced maternity pay. Many organisations offer arrangements that are more generous than the statutory minimum. This usually means paying 90% of your salary for 8 to 16 weeks rather than six weeks only before a lower statutory rate kicks in.

The benefits of reclaiming 

It’s no exaggeration to say that reclaiming your financial self can be life changing. The untapped potential in many women represents wealth, freedom, and of course, happiness. 

By getting a clearer picture of your financial life and what the future holds, uncertainty starts to reduce (an antidote to financial stress). Reclaiming will help you answer questions like, “how can I work toward my dream?” “How do I make sure my retirement income is enough to last me until I die?” And “how can I leave a lasting legacy?”

Financial planning that understands women’s lives

Charles Stanley’s   Women and Wealth insights series  is one of our most successful ever, drawing hundreds to conferences and events while highlighting important research into funding gaps for female founders. 

Our belief in women’s financial agency also shapes how we approach financial planning. We build one-to-one relationships with women. While our personal approach will cover traditionally “women’s issues” like career gaps and longer life expectancies, reclaiming your financial self means engaging every part of your financial future.

When the time feels right, our planners – both male and female – are here to help. Explore our financial planning service here.