Men may make more money because of the gender wage gap, but women are saving more of their earnings for retirement.
A new study shows that overall, 61 percent of women and 60 percent of men are saving for retirement, which is a smaller gap than you’d think based on my headline. However, women are also a whole lot more likely to have lower-wage jobs than men. When you control the findings for matching income and jobs, the savings gap expands a whole lot.
Per CBS News: “Among women and men earning $80,000 to $100,000, for example, 80.6 percent of the women are saving versus just 74.1 percent of men. These women are putting aside 8.2 percent of their income, while the men saved 7.5 percent … In fact, at every income level, women are saving more, and more consistently.”
Of course, a lot of us in our 20s aren’t saving as much as we should, but as we age, the need opens our eyes a lot more and we start setting aside more cash each year–probably also because we earn more as we move up. By the numbers: 48.4 percent of employees from 20-29 saved for retirement, while 65.6 percent of 50- to 60-year-old employees were saving. The amount set aside for retirement also increases as we age: 20-29-year-olds tend to save 4.9 percent of their income, while workers 61 and older put in 9.2 percent of their earnings.
Moral of the story? We’re better at saving money than men are, probably because we need to be.