Women’s financial planning challenges often greater

Johan Botha, Business Development Head at Aon South Africa’s Employee Benefits division

Women typically face a greater retirement savings shortfall than their male counterparts.  A longer life expectancy coupled with lower compensation throughout their lifetime creates a larger financial burden over a longer period compared with the needs of male retirees. In addition to earning less, on average, female workers also spend more time out of the workforce for various reasons than do male workers.  Women are more at risk for certain diseases that could cause a major and debilitating health crisis; and they typically take on more family responsibilities when it comes to raising children and caring for ageing parents.  While the fundamentals of sound financial planning are the same for both men and women, there are particular lifestyle and work conditions that are unique to women, and these need special consideration. (more…)