Feminist Financial Planning means understanding that we all have different relationships with money. We have diverse needs and desires. There are many levels of knowledge and comprehension regarding personal finances.
Feminist Financial Planning = Feminism + Financial Planning
I know, I know, I’m basically defining a word with that same word. But, here me out.
According to Encyclopedia Britannica feminism is “the belief in social, economic, and political equality of the sexes.” I would take this further than say that true feminism is intersectional. Feminists understand that women of color are women, transgender women are women, poor women are women. I do not consider “Boss Girl” feminism to be true feminism. My belief is that Feminists understand that “Nobody’s free until everybody’s free” (h/t Fannie Lou Hamer.) Feminists understand that the patriarchy harms men as well as women.
According the CFP Board, financial planning is “a collaborative process that helps maximize a Client’s potential for meeting life goals through Financial Advice that integrates relevant elements of the Client’s personal and financial circumstances.” In other words, it is working with clients to help them create financial circumstances that allow them to position their life in a way that enables them achieve their goals.
Putting this together, feminist financial planning is working with clients to help them achieve their goals. And, while doing so, it takes into account the humanity of the individual(s). It acknowledges that not everyone is starting from the same place in regards to opportunities, knowledge, or wealth. Not everyone’s goals will coincide with the societal norm. Yet, everyone deserves to be respected, treated with compassion, and the uniqueness of their circumstances should be honored.
Identify What Your Needs Are
Our finances are complex. There are so many moving parts. It is easy for even the most informed individuals to get overwhelmed by their money matters (ask me how I know.)
Before going to an accountant, an attorney, an insurance agent, an investment company, a bank, or a mortgage broker, you need to know what you are looking for. These individuals all sell a product or specific service.
If a person does not know exactly what they are seeking it is easy to
- Become overwhelmed and delay taking action
- Purchase an inappropriate or unnecessary product or service
- Focus attention on less urgent matters while neglecting the more critical or time sensitive issues.
All of these actions can be detrimental to our finances. (Again, ask me know I know; I have done each of these things.) This does not mean that individuals cannot go it on their own. But sometimes it is helpful to get outside advice and/or perspective. It is the same reason that lawyers hire lawyers and therapists have therapists. It can be hard to hold a clear perspective when we are so close to the topic.
I’ve been telling you I’m a feminist financial planner. I keep emphasizing that I’m not an accountant, attorney, or insurance agent. Getting the best investment return is not my primary goal.
So, As A Feminist Financial Planner, What On Earth Do I Do?
I help people to:
- Gain a more complete understanding of their current financial situation
- Decide where they want to go next
- Understand the options available to them
- Figure out the next best steps to take to work towards their goals
What I don’t do
- Tell people what they should be doing (I provide advice and the reasons behind the advice, but the ultimate decisions are personal and – as long as it’s legal – there is no right or wrong.)
- Shame people for their current situation
- Expect people to show up with a through grasp on their situation. That’s my job!
As I consider what my feminist financial planning services provide, I realize it boils down to two main points.
- I help people to figure out a path to realize their goals
- I assist individuals in mitigating financial risk to themselves and their families
For most of us, the ultimate goal is not the money itself. It is about living life on our own terms. Doing what we want, when we want, in the way we want. Also, it is about protecting ourselves and our loved ones from potential negative situations. Because we live in a capitalist society with strict legal structures, our goals and our vulnerabilities are often tied to our finances.
Practical Applications
“Yeah, this is all great. But what does it mean in practice?” you may be wondering.
Here are some things that I have assisted clients with during the past year
- Cutting excess expenses out of their budget so they could save towards more meaningful goals.
- Consolidating multiple small retirement accounts to make them easier to manage and appropriately invest.
- Created a step-by-step plan to systemically investing large cash savings into appropriate investments. This allowed for potential increased asset growth without the stress or risk of trying to time the market.
- Selected investments for retirement plans and IRAs.
- Refinancing their mortgage to lock in a lower monthly payment.
- Eliminate the need for mortgage insurance payments.
- Determining appropriate retirement savings amounts, account types, and investments based upon retirement goals.
- Establish a plan for unwinding company stock options.
- Create a plan for college savings for children.
- Facilitated working with an attorney to have an estate plan drafted.
- Reviewed and made recommendations regarding their needs for insurance including long term care, life, and disability.
I hope this list provides a more concrete understanding of the areas in which I can be of assistance. Not everyone needs all of these services. There are plenty of other personal financial needs not included on this list that I can help with.
As a feminist financial planner, my mission is to be a trustworthy partner who assists clients in taking steps toward achieving their financial goals. Like it or not, we live in a society that revolves around money. We must have the finances to pay support our lifestyles and provide security as we strive to reach our personal goals.