Reading Room

This Friday is the anniversary of the Lilly Ledbetter Fair Pay Act of 2009, a reminder that a significant pay gap still exists between men and women in the United States. At the median, hourly pay for women is only 82.9 percent of men’s median wage ($15.21 versus $18.35). While over the last several decades women have made gains in terms of education attainment and labor force participation, compared to men, they are still paid less, are more likely to hold low wage jobs, and are more likely to live in poverty. This economic gap exists to a greater degree for women of color and remains persistent across women of varying education levels and working in different occupations.

NPR story on women in poverty.

The issue hit home for Payne, founding partner at Centurion Wealth Management in McLean, when her uncle died unexpectedly. Her aunt and uncle were sure they had done everything right. As it turned out, that wasn’t the case.

Congresswoman Nita M. Lowey (Westchester/Rockland), the Ranking Member on the House Appropriations Committee, today announced the introduction of the Social Security Caregiver Credit Act during an event at Meals on Wheels of Rockland in Nanuet, NY, alongside local caregivers, senior citizens, elected officials, and advocacy organization representatives. The proposal would provide a Social Security earnings credit to caregivers who have to leave the labor force or reduce their hours to care for a loved one.

Today, U.S. Senator Patty Murray (D-WA), Ranking Member of the Senate Health, Education, Labor, and Pensions (HELP) Committee released a new report detailing the unique challenges women face in accessing a secure retirement. The report details how women often struggle with financial hardship in retirement more than men, and among women 65 and older, the poverty rate is nearly double that of men in the same age group.

The gender gap in retirement income security happens because women are marrying less and working more but still being paid less than men. In 2013, the most recent year for which these data are available, women earned 82% of the median earnings of full-time male workers. Lower earnings lead, on average, to lower Social Security payments, retirement savings, and pensions.