The 100th anniversary of women’s right to vote in the U.S. occurred in 2020. During the last century, women have made great strides in educational achievement and career opportunities. Despite this progress, they continue to be at greater risk than men of not achieving a financially secure retirement.
Today, a woman’s path to secure retirement is filled with obstacles, such as lower pay and time out of the workforce for parenting or caregiving, which can negatively impact her long-term financial situation. No matter their race, age, occupation, or education, women are negatively impacted by the gender wage gap. One of the most cited statistics comes from the 2016 U.S. Census Bureau report that shows women earn 79 cents for each dollar men earn in the U.S. Further, the report highlights the negative effects race plays on a women’s income. Compared to white men, Black and Hispanic women are paid only 65 cents and 58 cents on the dollar, respectively.
Statistically, women also tend to live longer than men, which creates an even greater need to plan and save. In short, for women, many factors influence financial wellness spanning the social and economic spectrum—factors that often undercut their security later in life. These life events can place extreme pressure on retirement resources.