Women face the most obstacles when planning for the future. And women have run into other countless challenges and inequalities while achieving success. Today, most still face the same challenges of the 70's and 80's.
The most significant barrier is preparing for retirement and attaining financial security. In an article published by RSSA, Registered Social Security Analyst Association, earning financial security is no easy task for either gender, but women face a tougher fiscal certainty than men.
Reasons Why Women Have More Difficulty
Spend Less Time Working
Women spend more time outside employment than men. Perhaps the woman chooses to raise a family and opts for parental leave. Or she's a caregiver for an aging relative, or simply chooses part-time work.
To qualify for Social Security benefits, individuals must earn a minimum of 10 years of work. The benefits are calculated on an individual’s earnings—specifically their highest 35 years of earnings. Some women work less than the required 10 years resulting in earning no benefit at all. While some women may work more than 10 years, but less than 35 years.
If she isn't employed, she's not saving money for retirement. She loses out on the employer's contribution in a 401(k) plan. It's likely she isn't saving on her own. And if the woman spends less time working than her male counterpart, her preparation for retirement suffers.
It's common knowledge that a pay gap exists between men and women. Generally, women earn less money. RSSA reports back in 2019, women earned 79 cents for every dollar that a man earns. And her peak earning age is close to 9 years younger than his peak earning age.
Women live longer than men. At the age of 65, women live, on average, 21.4 more years and men age 65 were expected to live 18.9 more years.
Long-Term Planning Strategies
Read the book, SOLO and SMART. It offers an easy to follow roadmap and sure-fire way to plan for the future.
Start early. Research and plan now before an emergency strikes. Be sure to read the book, SOLO and SMART! It offers clear guidance creating a plan for the future.