Retiring Women

It would seem reasonable that since the bra burning and Gloria Steinem activism of the 60’s that women’s issues, especially financial, would have improved significantly by the year 2011.  Unfortunately, that’s not the case.  Women now, instead of earning 67 cents for every dollar earned by men have only risen to 77 cents.  For baby boomer women facing retirement, the news is not good.

The Women’s Institute for a Secure Retirement reported that more than one in 10 women in retirement live on less than $10,000 a year.  The reasons are obvious.  Traditionally women earn less and live longer than their male counterparts.  Most baby boomer moms chose to stay home and raise their children, thus giving up careers, foregoing 401k’s and surrendered accumulating Social Security.  For some of these women having children meant work wasn’t an affordable option.  After daycare and other work related expense it would be fruitless to work.  The result is many of these women are dependent on their husband’s pension or choose to live with their children to survive.   Some live in deplorable poverty.

For those of us retiree hopefuls who are still in the workforce, we don’t have to sit idly by.  Saving and investing are still options.  It’s a fact that women are more conservative investors and that is a good thing.  Putting away a little every month is an important option – so much better than doing nothing.  And I believe we should pass this savory advice on to our daughters who really don’t want us living with them. 

Having been a witness, a pioneer and an advocate for the quest to right size women’s pay I can say I have seen a remarkable change in the work world.  It’s no longer shocking to meet a woman doctor, commercial airline pilot or lawyer.  It’s no longer a confidence crisis to learn your homebuilder is a woman or that knock on the door to install your phone isn’t a man.  NASCAR has gotten in the race for equality along with broadcast news.  The military academies have opened their doors to women but still there are many unspoken issues in the work world that go unchanged, pay being one.  While a few women continue to knock out the glass ceiling many others struggle to get into the door of opportunity.

Maybe the most important appointment I have ever had with a professional was 15 years ago when I met with a financial planner.  I left depressed and in tears after she gently stated the facts.  “You will need to work a long time or live a short life.  You have not planned and prepared to provide for yourself in retirement.”  After the shock was over, I created a plan and have been honest about living within my means and working at sticking to a budget.   

Maybe one of these days I will choose to become a retiring woman!  Between now and when that happens I will continue to carry the torch for women, encouraging them to raise their expectations, enhance their abilities, take responsibility for themselves, knock loudly on the door of opportunity and expect to get in!

Still learning,

Honey