Retirement Planning Challenges for Women

By Brent Meyer — SafeMoney.com Founder & Editor Reviewed by Licensed Financial Professionals  |  SafeMoney.com — Trusted Since 2011  |  Updated Regularly Quick Answer: Explore the unique retirement planning challenges women face and discover safe money alternatives for a secure future. Learn more at SafeMoney.com. Women are taking a greater role in household money matters, according to a new report by Allianz Life. But despite this, many women face the prospect of an underfunded retirement. In the study, 51% of women said they are the “chief financial officer” of their household. When it came to managing finances, 53% said they hold “a great deal of responsibility” or “all of it.” Nevertheless, signs indicate that women face unique challenges on the retirement planning front. Rising life expectancy, lower lifetime earnings, and reduced savings all contribute to a significant retirement income gender gap, reports Prudential Research . Sure, these challenges may seem considerable. But the good news is you can do many things to strengthen your retirement security and financial confidence. Confident decisions start with being well-informed. So, as you plan for your retirement, it’s important to understand the challenges facing you and other women today. Here’s a quick look at some common issues that will likely come your way. Women and Their Challenges in Retirement Planning When reading through these challenges, it’s helpful to consider them in the overall scope of financial retirement planning with your partner . Many financial decisions that you will make will impact you individually. This holds true on several retirement choices, from deciding when to leave the workforce to planning for retirement income, claiming Social Security benefits , and even meeting retirement tax obligations. Longer life expectancy. Women outlive men on average. This adds additional years to retirement, which means that women have more time they should plan for. According to the Social Security Administration, a woman reaching age 65 today would be expected to live, on average, until age 86.6. On the other hand, a 65-year-old man today would be expected, on average, to live till age 84.3. While these statistics give an idea of a timeline goal, they are only averages. Around 25% of 65-year-olds today will live past age 90, and about 10% will live past age 95. So your financial plan should prepare you for potentially 30 years or longer in retirement. In