| Women are no longer just a powerful force in | | | | investments, or a business, or whether a woman has |
| today’s economy. It is estimated over 60% of the | | | | inherited a husband’s estate is irrelevant. What |
| nation’s wealth is controlled by women. Some | | | | matters is that she is aware of the estate planning |
| may have inherited wealth and may or may not be | | | | options that are available. Unmarried or widowed, a |
| employed. Some are corporate executives, | | | | single woman might use lifetime gifts to reduce her |
| entrepreneurs or middle management. They may be | | | | estate tax burden by using the gift tax annual |
| single, married or divorced. They may or may not | | | | exclusion and lifetime unified credit. Trusts may also |
| have children. A woman’s financial situation is | | | | be useful in a program of lifetime gifts, particularly |
| often unique, and an individual approach to financial | | | | where minor children or grandchildren are involved. |
| planning is essential. However, areas of common | | | | Estate plan coordination, charitable contributions and life |
| concern do exist. | | | | insurance can also be extremely important toward |
| Many women work outside the home. If so, they | | | | achieving estate planning goals. |
| may have income tax problems, especially if they face | | | | For those women working for a large employer or |
| higher taxes because they are single and unable to file | | | | inheriting their spouse’s retirement plan, they will |
| a joint return. To address these problems, women | | | | frequently be faced with decisions affecting retirement |
| should consider the following areas: the role of | | | | benefits. Those decisions may have a significant |
| tax-advantaged investments to reduce their tax | | | | impact on their financial situation the remainder of their |
| burden; the taxation and treatment of executive perks | | | | life. Critical questions may arise such as: which of the |
| from their employer; the effect of age-related tax and | | | | several distribution options provided by an |
| Social Security provisions; and the tax problems of a | | | | employer’s qualified retirement plan is best; will their |
| small business including choice of organization, the | | | | retirement nest egg be adequate to maintain their |
| selection of a retirement plan and the taxes upon | | | | present lifestyle; and what benefits will they be entitled |
| disposition of their business interest. | | | | to from Social Security, Medicare, and |
| Closely related to income tax planning for women is | | | | employer-sponsored plans? |
| investment planning. Investment selection and asset | | | | No two women are alike nor are the financial |
| allocation involve much more than tax considerations. | | | | predicaments in which women are likely to find |
| There are various questions women should consider. | | | | themselves. As anyone can see, there are a variety |
| Do investment objectives line up with financial | | | | of issues, problems and solutions to consider. |
| resources and needs? Is the investment advice they | | | | Adopting a systematic and individualized approach with |
| are receiving objective, reliable and in line with their | | | | the aid of financial planning professionals can help to |
| goals, time horizon and risk tolerance? Will a trust | | | | address and solve these problems while achieving a |
| help with their investment planning? Women who are | | | | woman’s investment, retirement and estate |
| too busy or unable to oversee the day-to-day | | | | planning goals. |
| management of their investments should consider a | | | | This material was prepared by Raymond James for |
| trust. A trust may provide the comfort that comes | | | | use by Kevin F. Duffy CFP® CRPC, Vice President, |
| with knowing that financial affairs will be properly | | | | Investments of (Raymond James & Associates, |
| handled in all eventualities. | | | | Member New York Stock Exchange/SIPC or |
| Estate planning, like tax and investment planning, | | | | Raymond James Financial Services, Inc. Member |
| depends on individual circumstances. Whether a | | | | FINRA/SIPC). |
| woman has built her own estate through work | | | | |