Updated
Updated · AARP · Jun 25
AARP Says Women Get $4,800 Less in Social Security as Retirement Gaps Deepen
Updated
Updated · AARP · Jun 25

AARP Says Women Get $4,800 Less in Social Security as Retirement Gaps Deepen

3 articles · Updated · AARP · Jun 25

Summary

  • AARP’s June 25 report says women receive about $4,800 less a year in Social Security retirement benefits than men, even as they depend more heavily on those payments.
  • A 16% weekly pay gap and roughly $10,000 less in annual earnings compound over careers, leaving women with between one-third and one-half less retirement savings than men.
  • Women also face more interrupted work histories: 61% of caregivers are women, making them more likely to work part time, cut hours or leave paid jobs to care for family.
  • Longer lifespans add pressure—women live about five years longer than men, 81.1 versus 75.8—raising the risk of outliving savings.
  • The report says Social Security helps offset those disadvantages through spousal and survivor benefits, a formula that replaces more income for lower earners, and inflation-linked benefit increases.

Insights

Women need $226,000 for retirement healthcare, but have less savings. Is a long-term care crisis for women now inevitable?
As caregiving slashes women's retirement savings, will proposed new policies be enough to close the growing financial gap?