WASHINGTON — Women statistically live about eight years longer than men, but a new study finds they’re not financially prepared.
Women have $30,000 less in their 401(k)s than men do.
“If a woman tends to outlive her husband by about eight to 10 years, than certainly she’s gonna carry the financial burden longer than the man,” says Martin Smith, financial planner Martin Smith with Weathcare Financial Group.
Part of the reason is income disparity. Women earn 40 percent less than men.
“So you figure if a woman and a man are both maxing out their 401(k), there’s going to be quite a disparity,” says Smith.
Add to that time off to raise children or take care of elderly parents, women have more challenges that negatively impact retirement savings.
Smith says women also tend to be shy about asking their boss for a raise.
“For whatever reason, women tend to just not ask for a raise as much as they should. But when they do, three out of four women receive the raise.”
Smith says women should know their value and let their employer know.
Smith says, “Just be very aggressive and proactive with savings. Save, save, save, that’s really what it comes down to. ”