Women are having a significant impact on retirement planning
according to new research from the Jean Chatzky-powered HerMoney and
non-profit, Alliance for Lifetime Income.
Breaking previous stereotypes, 94% of women who say they are
in a relationship confirm that they play a role in the couple’s retirement
planning. The same amount report they also play a role in managing
investments.
On average, women who share money management duties with
their partner take more than half of the responsibility for retirement planning
(55%), as well as household finances (55%) and investments (54%). Additionally,
nearly half (48%) manage retirement planning for themselves and their partner.
There also appears to also be a trend toward female
independence according to the HerMoney/Alliance State of Women in 2022 study.
Only one-third (33%) have completely merged their finances with their
significant other. And among women who are currently single, a paltry 2% say
they would merge all their money with a spouse or partner in the future.
The report is a positive sign at a time when women continue
to lag men in retirement readiness. Recent research from TIAA noted that the
Covid-19 pandemic exacerbated the gap between the genders. Only about a third
of women (31%) are saving for retirement, compared to 44% of men. More men
(35%) are confident that they are on track to live comfortably in retirement
without running out of money, compared to just 19% of women. Comparatively,
TIAA points out that in its 2013 survey, the confidence level gap was only nine
percentage points.
According to Alliance for Lifetime Income CEO Jean Statler,
their research clearly dispels the myth that women are somehow absent when it
comes to investing and planning for retirement.
“It’s inspiring to see these women take the lead on not only
managing their household finances but also investing for the future and
planning for retirement,” adding that financial advisors who ignore women, do
so “at their own financial peril.”
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