The inequality in superannuation balances as well as the gender pay gap means more women than men are likely to spend their retirement in poverty, according to government research.<\/p>\n
Date from the Workplace Gender Equality Agency shows that more elderly women than men are living in poverty in Australia and are also more likely to re-enter the workforce following retirement, often due to financial constraints.<\/p>\n
The research also shows that women are twice as likely as men to sell their house and move to lower-cost accommodation because of tight financial circumstances in retirement.<\/p>\n
Author of The Female Investor \u2013 Creating Wealth, Security & Freedom Through Property<\/em>, Nicola McDougall, said the research continues to highlight the inequitable financial outcomes between genders in Australia.<\/p>\n \u201cMany women are worried about their lack of superannuation and about having to work until they are 80 instead of retiring,\u201d she said.<\/p>\n \u201cIn fact, many women are forced to re-enter the workforce in their twilight years because they simply can\u2019t afford to live without doing so.<\/p>\n \u201cAbout one in three Australian women retire with no super, plus, women who do manage to save, may still wind up with less than half the retirement funds of their male counterparts.<\/p>\n \u201cAbout 70 per cent of women also rely on the pension to financially survive in retirement, even though the superannuation scheme has been in place for decades now, but it was not designed to accommodate women who leave the workforce to care for children, often during what would have been their peak income-earning years.\u201d<\/p>\n Ms McDougall, who is also the Chair of the Property Investment Professionals of Australia, said that one of the reasons for the imbalance in financial outcomes between genders is because the current superannuation framework does not account for common female experiences in the workplace.<\/p>\n \u201cWGEA research shows that women have lower lifetime earnings and are more likely to work part-time, or in more casual forms of employment, as well as to take time out of the workforce for unpaid caring responsibilities,\u201d she said.<\/p>\n \u201cAll of these factors affect a woman\u2019s ability to save retirement savings.<\/p>\n \u201cLikewise, the gender pay gap exists with women on average earning 77 per cent of men\u2019s earnings, while women are much more likely to earn under $60,000 per year than men.<\/p>\n \u201cIn fact, according to the WGEA Australian Gender Equality Scorecard, men are twice as likely to be highly paid than women.\u201d<\/p>\n Further WGEA research shows that the gender pay gap is at its widest for women aged between 35 to 54 years of age, with the peak gap occurring for women in their mid-40s.<\/p>\n \u201cThe gender pay gap starts to widen significantly when women are about 35, according to the research, because this is the decade when they are most likely to be out of the workforce caring for children,\u201d Ms McDougall said.<\/p>\n \u201cHowever, even when they return to work, the pay gap continues because their time out of the workforce means they have missed out on vital career promotions and progression and are therefore less likely to hold highly paid jobs than men.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":" The inequality in superannuation balances as well as the gender pay gap means more women than men are likely to spend their retirement in poverty, according to government research. Date from the Workplace Gender Equality Agency shows that more elderly women than men are living in poverty in Australia and are also more likely to […]<\/p>\n