MetLife Bank(R) Offers Tips and Free Materials to Help Women Save and Plan for the Future

NEW YORK--(BUSINESS WIRE)--When it comes to saving and investing for retirement, women are making tremendous strides. Female homeownership is at an all-time high--with one-fifth of residential real estate now being held by single females. Women are now the primary breadwinners in roughly one-third of U.S. households. Still, they are more likely to face shortfalls in retirement than their male counterparts.

“By considering the options that are available, you can gain greater peace of mind and leave yourself in a better position to meet your goals.”

"Today's women often try to do it all: running a household, caring for a family, and working full or part time jobs--with precious little time to think about the present, much less the future. However, women owe it to themselves to adequately plan for the future," said Donna DeMaio, president of MetLife Bank.

DeMaio recommends that women try to set aside just one hour a month to plan for the future. "Even if you think you don't have time, you need to make planning a priority," said DeMaio. "By considering the options that are available, you can gain greater peace of mind and leave yourself in a better position to meet your goals."

When assessing one's options to save for the future, DeMaio suggests the following to get on track:

1. First, pay off debt. For those who have incurred a significant debt burden, it may be wisest to pay off credit cards first. The high interest rates that most cards carry can greatly impede one's ability to save.

2. Make home ownership work for you. Home ownership gives a person access to home equity, lines of credit, and (potentially) reverse mortgages. The good news is, according to a study released in 2006 by the Joint Center for Housing Studies at Harvard University, home ownership among women increased by 50 percent in the last eight years, making them the second largest demographic group of home buyers, behind married couples.

3. Establish a Savings Plan. Even if you need to start small by saving just ten or twenty dollars a month, the key is getting started. Many financial institutions will automatically transfer a certain amount to your savings each month.

-- Consider Money Market Accounts and CDs. Choose a Money Market Account to set aside funds for a rainy day, or to wait until a better savings or investment opportunity comes along. Shop around for the best rate from a company you know and trust. CDs are a good option, too, as they usually earn more interest from savings accounts and they are low risk thanks to FDIC insurance. Plus, they can be laddered to maximize returns. Look for banks that offer consistently high rates--some institutions offer short-term promotional rates which may drop significantly after a few months. Also, consider direct banks, which typically offer better rates than local "brick and mortar" banks.

4. Make retirement savings a priority. Although there are fewer women in the workforce (60% of women versus 73% of men), women, on average, live longer lives. To help jump start your retirement savings, consider the following options:

-- If your employer has a 401K, be sure to invest in it. This is smart money, because it reduces taxable income and funds grow tax deferred until money is withdrawn. Plus, many companies will match the investment up to a certain percentage, essentially giving yourself a raise.

-- Think about an IRA. In an IRA, funds and their earnings grow tax deferred until you begin withdrawals. If you are age 50 and over, you may also be permitted to make catch-up contributions to your IRA for years that you did not fully invest. Your annual contribution may also be fully or partially deductible, depending on your income level and whether you are covered by another retirement plan. You may have a choice of investment options for your IRA, including stocks, bonds, mutual funds or CDs. Keep in mind that your money must be in an IRA-approved account and that it must be designated as an IRA. For added savings, look for a no-fee IRA. There are different types available that can provide tax benefits, but each IRA type has its own specific eligibility criteria and contribution limits. Before contributing to an IRA, consider consulting with a tax advisor regarding eligibility to contribute, as well as contribution limits.

-- Look for "guaranteed income" in preparation for retirement. Women are less likely than their male counterparts to have a company-sponsored pension. According to the U.S. Department of Labor, only 32% of women receive pensions.

MetLife offers several free brochures as part of its Life Advice program to help people better prepare for the future and understand the intricacies of investing, including "Building Financial Freedom" and "Investing Basics." Building Financial Freedom provides valuable information on how consumers can seize control of their finances and start planning for the future. Investing Basics serves as a primer on investment styles, types of investments, and retirement investment vehicles. From savings accounts and CDs to bonds and annuities, this brochure can help potential investors recognize their investment style, understand the risk/reward relationship and learn about diversifying investments. Both are available for free, by calling 1-800-MET-LIFE (1-800-638-5433) or by visiting http://metlifebank.com/LifeAdvice.do

MetLife also offers a variety of web-based calculators that can help consumers determine the best way to save money and plan for retirement. They are available at www.metlifebank.com. In addition, www.metlife.com has calculators on retirement savings, including a retirement income IQ quiz.

Headquartered in Bridgewater, NJ, MetLife Bank, NA, (Member FDIC), is a nationally chartered bank, and a subsidiary of MetLife, Inc. (NYSE: MET). MetLife, Inc. is a leading provider of insurance and other financial services to millions of individual and institutional customers throughout the United States. Through its subsidiaries and affiliates, MetLife, Inc. offers life insurance, annuities, automobile and homeowner's insurance and retail banking services to individuals, as well as group insurance, reinsurance and retirement and savings products and services to corporations and other institutions. Outside the U.S., the MetLife companies have direct insurance operations in Asia Pacific, Latin America and Europe. For more information, please visit www.metlife.com.

MetLife is the trade name of Metropolitan Life Insurance Company

MetLife Bank, N.A. Member FDIC