More than half of women responding to a National Council on Aging (NCOA) survey conducted with Ipsos said they are worried about outliving their savings. Income variances is very different for men and women. One major reason: the gender pay gap.
Women are more likely to experience financial insecurity than men, and this discrepancy becomes even more pronounced later in life. Making less than their male coworkers means women have less money saved when they retired, and will draw less money from Social Security upon retirement. Recent statistics from the Health and Retirement Study show that half of women over age 60 have house hold incomes below $39,600, yet the median income for men in the same age range is $55,000. 46% of women aged over 60 are worried that prescription drug costs will exceed retirement vs. 38% of men. Despite entering retirement age at a disadvantage, women tend to live longer and face more out-of-pocket costs for things like medication each year. This longevity means that women’s limited income and assets must be stretched even further. Older adults of color fare even worse. Around one in five older Black/African American and American Indian/Alaskan Native women live in poverty, with an annual household income of just $12,490 for a one-person home.
Much of NCOA’s work is focused on public benefits programs in helping low-income older adults stay economically secure. Many eligible older adults miss out on these benefits because they are not aware of the programs or how to apply. Since 2010, NCOA has helped over 368,000 older women enroll in benefits to pay for basic expenses to meet their health needs. NCOA’s online screening tool at www.benefitscheckup.org has connected an estimated 2.9 million women with benefits after they completed a screening.
~ Compliments of Dr. Lauren Popham, Senior Specialist of Data Analysis & Evaluation at NCOA.