Tips to help women improve their financial wellness

(BPT) - While financial goals for women have changed over the years, women still face unique challenges, especially those of the "sandwich generation" who spend time, energy and financial resources caring for both children and aging parents. Despite these challenges, Fidelity's 2025 Financial Resolutions Study found that women are staying focused on the future, with 61% saying they'll be better off financially in 2025 than they were in 2024.[1]

According to the study, 68% of women say they have a plan to reach their financial goals, and 80% say they plan to build emergency savings. For 2025, women's top financial resolutions are to save more money (46%), pay down debt (41%) and spend less money (33%).

What strategies can help women attain their financial goals? Fidelity's research highlights how women are focused on saving and planning for the future. In honor of Women's History Month, here are key insights that can help women improve their financial health.

Find ways to juggle caregiving needs

41% of women caregivers describe their relationship with money as "stressful." Caregiving responsibilities impact women even into retirement - with research showing women retirees are three times more likely than men to say they left work to care for loved ones.[2]

Despite these challenges, most women caregivers are looking to the future, with 81% planning to boost their emergency savings in 2025. Any savings you can build during these years will serve you well in the future.

Being a caregiver can be incredibly challenging, and it's important not to go it alone. Many employers offer benefits that can help, including things like a group legal plan or mental health support.

If you do need to step away from the workforce, make sure you calculate the full cost of doing so. Consider not only your lost salary, but also lost years of retirement savings and Social Security credits. Make sure you also have a backup plan for obtaining health insurance and saving and investing for your retirement.

Strategies to tackle health care costs

Women can expect to spend an average of $175,000 on health care costs and medical expenses throughout retirement, which is more than 10% higher than men can expect to pay - up nearly 17% since 2019.[3] One-fourth of women say rising health care costs is one of their top financial concerns for 2025.

Make sure you're taking advantage of employee benefits such as a health savings account (HSA) offered in conjunction with a high-deductible health plan, which can help cover health care costs during retirement. While Fidelity customer data shows that the number of women contributing to their HSA is on the rise,[4] women are less likely than men to invest those funds, leaving potential growth on the table. Encouragingly, among women who do invest their HSA funds, the top reason is to help grow a medical fund for retirement.[5]

Optimize workplace benefits

Women are more likely than men to say their employee benefits don't meet their needs mostly due to the cost, inadequate coverage, difficulty understanding their benefits and difficulty getting specialty care.[6]

Contact your HR department to make sure you fully understand and use benefits that are available to you. You could find there are benefits you didn't know about or are not taking full advantage of that could improve your situation.

Don't put retirement planning on the back burner

While most women are focused on short-term financial goals this year, younger generations plan to increase their annual retirement savings contribution in 2025 (48% Gen Z, 45% Millennials)[7]. Half of the women who retired in 2024 took a phased approach to retirement by working part-time, taking on less responsibility or transitioning to more flexible work, signaling a shift to easing into retirement years.[8] Women are also significantly more likely than men to transition to retirement by working reduced hours or days.[9]

Make a plan for retirement now and your future self will thank you. Increasing your retirement savings contribution is one concrete way you can help ensure you'll be in better shape for retirement - whatever that looks like for you.

Keep learning to improve your financial wellness

In recognition of Women's History Month, Fidelity is gathering various accomplished women leaders for a free month-long event series to help inspire women to take the next step with their money and achieve their financial goals. Tune in to hear conversations about how to make the most of unexpected changes, women's health needs and the costs associated with them - and how to create and achieve your life and career goals.

Fidelity's Women Talk Money community offers a year-round forum for real talk about money, investing, careers and other topics through live events, on-demand content and other useful resources to help women take the next best steps with their finances. This resource is free for everyone to join.

*Unless stated otherwise, all datapoints cited are from Fidelity's 2025 Financial Resolutions Study

Keep in mind that investing involves risk. The value of your investment will fluctuate over time, and you may gain or lose money.

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Views expressed are as of the date indicated, based on the information available at that time, and may change based on market or other conditions. Unless otherwise noted, the opinions provided are those of the speaker or author and not necessarily those of Fidelity Investments or its affiliates. Fidelity does not assume any duty to update any of the information.

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