Almost 92 percent of female retirees have not properly planned financially for their retirement. A new report by the Society of Actuaries (SOA) uses survey data to identify gaps in understanding retirement risks and techniques for addressing retirement concerns among these unprepared retirees.
The SOA report reveals gaps in the understanding of retirement risks. The average woman’s life expectancy is longer than the average man’s. Therefore, women must have saved more money to pay for necessities, for their 20 year retirement. As a result, women are more deeply affected by inflation and economic downturns. Women are also more likely to have a longer period of disability and are more likely to need long term services and support.
The higher cost of retirement for women provides little room for error, and it is important for women to start preparing well before they retire. Anna Rappaport, FSA, MAAA and co-author of the report explains, “Our study on the impact of retirement risks for women is meant to be a call to action for women to educate themselves on retirement-related risks, better prepare for the long-term and, hopefully, avoid financial shortfalls.”
Read the full report: The Impact of Retirement Risk on Women
