Women’s History Month is a time to celebrate the many accomplishments of women and encourage positive steps
to help relieve money stress and help build financial security.
Let’s start with a brief quiz about the economic contributions of women in the United States:
The gender pay gap in the United States has been widely documented. In 2019, the median annual earnings for women who worked full-time, year-round was $47,299 or about 82.3 percent of men’s median annual earnings, according to the Institute for Women’s Policy Research. When evaluated by race, the gap varied:9
These income gaps contribute to the gender wealth gap. Wealth can be defined in a variety of ways. Merriam Webster says it is an “abundance of valuable material possessions or resources.”10
For many women, wealth is a financial resource that can be accessed in emergencies, drawn on to pay for college, saved and invested for retirement, and passed on to future generations.
Building wealth means taking control of your money. The journey toward wealth begins with goal setting. What do you want money to do for you and for your family? Once you’ve decided, you can take action. Your financial goals may include:
Too often women are so busy doing for others they overlook the importance of doing for themselves. Never forget, when you are financially secure, your family is financially secure.
If you would like to learn more about reducing financial stress and growing wealth, please get in touch with us.
The actual value of women’s unpaid work may be even higher. Fed economists cautioned, “…keep in mind this value is at the low end of the possible range because we use the federal minimum wage and not, for example, higher state minimum wages let alone market wages that correspond to the specific work being done.” The underestimate may be even higher when you consider the out-of-home cost of childcare, adult daycare, and maid service.2
Notably, women’s achievements in education and at work translated into significant income gains for their families. In fact, the CEA reported, “Essentially all of the income gains that middle‐class American families have experienced since 1970 are due to the rise in women’s earnings.”6
The full potential of women in the labor force has yet to be tapped. When the government was seeking ways to accelerate economic growth, S&P Global published a paper titled, The Key to Unlocking U.S. GDP Growth: Women.7
The authors wrote increasing the number of women in the workforce could accelerate economic growth by 5 to 10 percent over a few decades and add about $5.9 trillion to the global stock market over a single decade.7
Jason F. Payne, CFP®, AIF®
593 West 800 North
Orem, UT 84057
Securities offered through Parkland Securities, LLC Member FINRA/SIPC.
Investment advisory services offered through Sigma Planning Corporation, a registered investment advisor.
Timpanogos Financial Advisors is independent of Parkland Securities, LLC and SPC.
6 https://obamawhitehouse.archives.gov/sites/default/files/docs/2015_erp_chapter_4.pdf (or go to https://resources.carsongroup.com/hubfs/Source-Carson_Coaching/Mar_2021_WhiteHouseArchives-2015_The_Economics_of_Family-Friendly_Workplace_Policies-Chapter_4-Footnote_6.pdf)
This material was prepared by Carson Coaching. Carson Coaching is not affiliated with the named broker/dealer or firm.