Four Unique Financial Hurdles Women Face

posted 7/17/2019 in Personal Finance

At Lincoln Savings Bank, our mission is to help provide financial education along with the services that support that education. While most of our content is curated to help both men and women, today we’d like to shine the spotlight on some very specific financial issues women face today. In today’s blog, we’d like to illuminate these issues and start the discussion on how women can empower their personal financial decisions.

Pink Tax

The pink tax is a term that refers to the increase in price women may pay for a female version of a product. This is commonly found in commodities such as razors, shampoo, lotion, deodorant, and even girl’s toys. Often, the products are nearly identical in structure and quality to similar products not marketed to women.  There’s no shame in reaching for the pink version of these products, but it’s important to know they come with a higher price tag.  

Societal Norms Around Discussing Finances

Watching movies such as The Wolf of Wall Street, Iron Man, or Ocean’s 13, it becomes apparent that the men portrayed have little issue discussing their personal finances while women are often portrayed as less financially confident. By opening the conversation of personal finances for both genders, it can then be possible to share the continuous knowledge of worth, helping to fight societal stigmas that may keep women from openly discussing and seeking help with their finances.

Wage Gap

Current statistics indicate that women are on average paid 78 cents on the dollar for the same job when compared to a male counterpart. While this has improved from 56 cents per dollar ratio in the ’60s, there’s still a lot of work to be done. Women should educate themselves on median wages for jobs they’re interviewing for and be ready to negotiate accordingly. The same advice applies to those currently employed. Take time to research what similar positions pay and have a conversation with your employer if there is an obvious discrepancy.

Investment Gap

Despite the challenges listed above, women typically save more than men!  However, because they are yielding a lower net income than men on average, investment opportunities for women are hindered and lacking the earned interests they would have garnered. Thankfully, companies such as Ellevest are beginning to emerge. These companies challenge the financial expectations of women and have begun equipping women across the world with the knowledge they need to succeed.

It’s important to continue progressing forward, and keep the conversations moving that empower women with the knowledge and skills to successfully manage their finances.  At Lincoln Savings Bank, we value the opportunities these discussions bring and are committed to doing our part to educate and inform everyone on sound money principals.  We are also committed to a diverse workplace where women are employed at all levels of the organization.  If you’re interested in working at Lincoln Savings Bank, visit our job board at careers.mylsb.com

Lincoln Savings Bank. Member FDIC.
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