Reaching old age wealth

“Plan ahead, secure yourself, close the pension gap: Women are constantly drilled with this message. But they can achieve so much more,” writes Christiane von Hardenberg on ZEIT ONLINE (€). “Is that it? Is that really all that women are believed to be capable of financially? Closing the pension gap or, even worse, just avoiding poverty in old age?”

“I want more. More money. Because I don’t want to be poor in old age—I want to be wealthy.” Ideally, before old age, although it’s not about consumption. “More money means: more opportunities. It also means being able to play a more active role in our society, pushing it in a direction that aligns with my values. A society where women are self-determined and independent, children have access to quality education, and we treat our natural resources with care. To achieve this, I could start a company, invest in businesses, support nonprofit organizations, or establish my own foundation.”

The 25% higher risk of poverty among women in old age is a serious problem for the author, one she does not intend to downplay. “That’s why it’s all the more important that more women now take the lead on this topic, which is often dismissively referred to as ‘pink finances.'” The goal, she explains, is “to enable women to live financially self-determined lives. But it can’t be solely up to us women to address the imbalance in financial literacy between men and women. Change needs to happen on many fronts.”

For her, it starts with education and parental role models: “So please, dear fathers, but also mothers, talk to your daughters about money!” Additionally, the financial industry must stop perpetuating stereotypical gender roles. Assuming that women are clueless about financial matters often leads to them being sold inferior and more expensive financial products. Rather than exploiting their fears about retirement savings, they should be shown the opportunities that investments offer—such as building enough capital to start their own business.

“My appeal also goes out to women: take charge of your finances, set big goals, and don’t leave this important area solely to your men. The federal government’s ‘Financial Education Initiative’ (…) is a step in the right direction. Another useful resource is the platform ‘finanzfluss,’ which offers podcasts and video tutorials that provide valuable insights for both beginners and advanced learners.” Ultimately, it’s about achieving financial independence.

Christiane von Hardenberg holds a PhD in economics, writes the ZEIT column “Money Matters,” and is an author. Her second book, “Mach mehr aus deinem Geld! Alles, was man über den Vermögensaufbau wissen muss” (“Make More of Your Money! Everything You Need to Know About Building Wealth”) has just been published.