Women boomers, more than men, fret their financial futures

Female baby boomers are more anxious about their financial futures than their male counterparts, and with good reason, a new report from the AARP Public Policy Institute says.

Women boomers are less likely than men to receive income from assets and pensions, and the amount they will get from them also is less. Their Social Security benefits typically are lower. And they’re more likely to live in poverty or rely on public assistance.

As a result, 60 percent of women boomers, born from 1946 to 1964, are not confident they can afford a comfortable retirement. That compares to 51 percent of men born in that time frame who say they’re not confident they’ll be comfortable.

About 4,000 boomers were interviewed.

Overall, it’s been a rough ride for boomers of both genders since the recession.

The report notes, “The recession and its aftermath have left many without jobs, having exhausted their savings, and with homes they can neither afford nor sell. The surveys indicate that boomers are uncertain about what the future holds for them as they edge toward retirement.”

One comment Add your comment

LAB

October 11th, 2012
1:07 pm

Why is this? Women quit the workforce to raise families, especially those born earlier in the Baby Boomer generation. Also, divorce has wreaked havoc on household stability and income in this generation more so than others. For a majority of the divorcees out there, they most likely did not receive their court-ordered alimony and child support because there was almost no enforcement (it’s unfunded to enforce support orders) until the amendments to 42 U.S.C. 666 commencing January 1, 1993 (new guidelines and garnishment laws). Nowhere can a person put together a household for a single head of household plus three children as effectively as the household’s budget pre-divorce. Not a physical reality. AND, without the article’s author so stating, women traditionally earn less than men in all types of employment because somehow they’re “not quite worth as much.” So, with breaks in contribution to the Social Security system, lower overall wages, no direct pensions and very little chance for an effective 401(k) contributory pension, and inability to save because of the burden of supporting a household as a single head of household, it should be no wonder women who are not married will have a tougher time in retirement. Don’t worry–at some point this will spread to our male counterparts because they, too, have lived beyond their means.