International Women’s Day is a global day that celebrates the social, economic, cultural and political achievements of women. But this is also the day when we recognize the job that is still to be done when it comes to the equality of women.
For example, recently Exploration of Yahoo Finance and Marist Poll Most Americans were found to be dissatisfied with the amount of money they saved last year, but women are far more likely to be “very dissatisfied” or “completely dissatisfied” with their savings than men – 40% VS 28%.
New York Life 2023 wealth research They also revealed that in 2022, women saved an average of $ 3,146, while men saved more than twice as much as that figure: $ 7.007.
Why does this difference exist? Despite having great steps in education, leadership and entrepreneurship, women continue to face unique financial challenges that make money saving more difficult than it should be. From space to paying gender to care costs to systemic obstacles in the ability to build wealth, the path to financial security is often steep for women.
Although the burden of solving this problem should not only fall on the shoulder of a woman (a significant change will require the cooperation effort of the Government, employers, financial institutions and others), recognizing these obstacles can bring women to a better position to overcome them.
2024 years of women earned an average of 85% of what men earned, according to a Analysis of the Pew Research Center medium earnings from a hourly rate and workers full and part -time. In other words, for every dollar they make, women only earn 85 cents on average. And it has not changed much in the last 20 years – in 2003, women have earned 81% as men.
“This means that most of their revenue must cover their ‘today’ needs, and therefore a smaller part is available for savings and – equally important – for investment,” said Bobbi Rebell, a certified financial planner and an expert on personal finance at Badcredit.org. “If a woman earns 85 cents for each dollar that a man earns, she has 15% less for the allocation of her financial goals.”
Good news: There are steps we can take as women who are committed to themselves. For example, the next time you talk about a new job or work for promotion, take this opportunity to negotiate a higher salary based on a market research and a set of skills you bring to the table. For example, there is usually a negotiating range of 10% to 20% at medium level positions. You will leave the money on the table if you are not looking for it.
Also, don’t be ashamed to have open and honest conversations about salaries at work. This helps that your expectations and wages goals be reinforced by the boss and allows you to understand how best to position yourself to raise or bonus in the future. In addition, it promotes transparency of compensation throughout the organization, which can help in the direct playground for everyone.
Studies show that it is more likely that women will adapt to men’s careers to take over the guardian, such as raising children or concern for older family members. These careers interrupts may have a domino effect that adversely affects the long -term potential of earnings and saving ability.
According to AARP Public Policy Instituteclose to 70% of the caregiver experiences difficulty in connection with work as a result of their responsibilities for care and risk losing up to $ 300,000 in job -related fees.
“Even if a woman wins the chances and” catches “on that level of salary a few years later, those lower years of earnings continue to cost in terms of complex interest rates and growth growth over time,” Rebell said.
This is an area where employers can increase better to support women through initiatives such as paid leave, flexible time policies and subsidies for children care.
Women in the United States -In average men on average over five years, according to National Center for Health Statistics. This longer life span means that women need to save even more to retire from men. And 65% of women worry that will outlive your pension savings.
Because of this, it is crucial to save as soon as possible for your golden years. The sooner you start saving to retirement, the more time your money has to earn complex yields. If you are saving for retirement in the pension plan provided by the employer, see if your employer contributes and be sure to contribute enough to get that full match.
You will also want to apply periodically in retirement and adjust the amount you contribute to how your revenues and financial circumstances change.
Read more: What is the interest of complex and how is it calculated?
Inflation is not the only culprit when it comes to higher costs. With already elevated prices for daily goods, women tend to pay premiums for certain products and services, such as deodorant, hairstyles and chemical cleaning, simply because they are “for women”.
The “so -called” pink tax “remains a real cost for women,” Rebell said. “Products that are comparable to those sold with men are often appreciated when sold on women.”
The next time you buy your daily goods, compare the prices and see if you can find a generic version of the product you are looking for or a version that is not a special target on women-please: Replace the pink razors for the unisex or men’s version.
Many Americans face highly balanced student loans, but women are in a higher percentage. According to Initiative for Education Data63.6% of all student loans belong to women. Higher debt level can make it difficult to save and invest in the future.
If you are struggling with a large student loan balance, seek ways to make monthly payments more controller. Repayment plans aimed at incomeFor example, it can reduce payments to a small percentage of your income. Also, it may be worth following the forgiveness program, such as the forgiveness of the public service loan (PSLF), which cancels any remaining debt after making 120 payments while working with the conditions that fulfill the conditions.
Experts also say that understanding and managing monthly accounts, together with your future goals, begins with a clear financial plan.
“Information and making intentional decisions about your money and investment goals is a smart strategy,” Rebell said. “It can feel overwhelming, so consulting with a financial expert in information and responsibility is often worth the investment.”
Read more: Your complete budget guide for 2025
