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Steamboat Springs — Jo-Ann Holst poured financial information across a packed room Monday evening.

She told the women about individual retirement accounts, Roth IRAs, 401(k)s and 403(b)s - and those were just the things many of the women were familiar with. Holst also provided information about lesser-known financial concepts, and she discussed the importance of compound interest.

Holst led Steamboat Springs' first Women's Financial Network event. She gave the talk, "How Money Works," at Real Living Professional Group.

Some women are well versed in finances, but many aren't, said Holst, who founded the women's group.

"You go to school, you learn reading, writing, 'rithmetic," she said. "But you don't learn how to stay married, manage your money or raise your kids."

But that financial knowledge is crucial. According to information from the Women's Financial Network:

- By the year 2020, 65 percent of the nation's wealth will be in the hands of single or widowed women age 65 or older.

- It's estimated that only 20 percent of baby boomer women will be financially secure in their retirement.

- About 58 percent of female baby boomers have less than $10,000 in retirement.

Holst explained finance terms and saving venues. She noted that some retirement accounts are tax-deferred, and others are tax-free withdrawal accounts.

Standard IRAs and 401(k) plans are tax-deferred, which means you don't pay taxes when you put money into them but do pay taxes when you take money out.

Roth IRAs are tax-free withdrawal accounts, which means you pay taxes when you put the money in and then take it out tax-free.

Pam Landy organized Monday's event, which will be repeated tonight at Hayden Public Library. Holst also will be available for free consultations the next couple of days, Landy said.

Holst encourages people to save $5 a day and encourages people to start young. Holst suggested that women create a plan with their financial information and revisit it annually.

She also offered advice based on what wealthy people do.

"They keep money from generation to generation, they minimize the taxes that they're paying," Holst said. "They don't have debt, and they want to beat inflation."

Inflation averages 3 percent or more, she said, so money in an account that brings in 1 percent interest won't keep up with inflation.

Earning compound interest, or interest on your interest, is key, Holst said. For example, if a person puts $1,000 into an account with a 4 percent annual interest rate, a person will earn $40 on that $1,000.

With compound interest, the next year, he or she would earn 4 percent on $1,040 rather than just another $40 from that first $1,000.

Judy Strnad was among those who attended Monday's event. She asked Holst what the women could do immediately.

"Get an idea of where you are, what do you have," Holst said.

She suggested using the rule of 72 to figure out how money will grow. Divide 72 by your interest rate.

That gives the number of years it will take to double your money, Holst said. A fund with an interest rate of 7.2 will double in a decade.

The bottom line, she said, is that women need to understand their finances and what's available, and they need to plan in order to protect themselves and their families.

The Women's Financial Network plans to hold events the first Monday of each month in Steamboat and the first Tuesday of each month in Hayden.

"I'm just really passionate about this, for us to really take a look at this and start thinking about this," Holst said. "The earlier the better."

- To reach Blythe Terrell, call 871-4234 or e-mail bterrell@steamboatpilot.com