While there’s an emerging sense of optimism among women that the economy is improving, many unfortunately still worry about achieving financial security, particularly in the areas of retirement savings and paying down debt.
Released in celebration of Women’s History Month, these findings are contained in new survey results by Laurel Road, a digital banking platform of KeyBank, which shows that the percentage of women who feel apprehensive about the current economic environment fell by nine points from last year.
That said, the firm’s seventh-annual survey, which explores financial goals and security among 2,197 U.S. adults, also reveals that, despite improved views of the economy, women's feelings about overall financial security have worsened—with only 25% responding that they are not behind schedule on anything related to their personal financial security, compared to 34% last year.
While more women feel behind on their personal financial security goals, the top concerning areas remained consistent. Up three percentage points year-over-year, the findings show that nearly 4 in 10 (38%) women identified retirement savings as a key area they are behind schedule, followed by 30% feeling behind due to credit card debt repayment.
“Even with a more optimistic view, significant gaps remain when it comes to financial security, with retirement savings and credit card debt reduction as particular pain points,” shared Alyssa Schaefer, General Manager & Chief Experience Officer at Laurel Road. “This annual study highlights just one piece of the larger conversation around the financial challenges and stresses uniquely faced by women.”
Alongside the end of student loan forbearance, 14% of women also report student loan repayment as a concern, up from 9% last year. BIPOC women specifically also felt more behind on personal financial security goals than in 2023, with 33% identifying retirement savings as a top concern, up three points from last year. Student loan repayment was identified as a bigger concern for BIPOC women (17%) than women overall, an increase of seven points from 2023.
Gender Perspectives
Laurel Road’s survey further reveals that the factors that contribute to stress and anxiety can affect men and women differently. Both report the top stressors are their personal finances and managing their health. Men, however, report greater stress about their jobs and their careers compared to women, while women are more stressed about their personal finances and managing their households.
For instance, 65% of women report that they often experience elevated stress related to managing their personal finances compared to 60% of men.
Across both men and women, respondents identified greater market stability and a more reliable source of income as the most important factors in generating greater confidence in their ability to manage finances.
Meanwhile, even though men are paid more on average than women, a greater number report they are behind on their salary-related goals (29% of men vs. 22% of women). Despite this, men feel more confident negotiating a raise or promotion with their current employer (66% of men vs. 54% of women say they are at least somewhat confident). Gen Z women are the least optimistic about negotiating a raise (48%).
“As we recognize Women's History Month, our goal is to continue shedding light on these persistent issues impacting women's personal, professional and financial wellbeing,” added Schaefer. “By raising awareness and fostering constructive discussions, we seek to understand the landscape, catalyze positive change and inspire action around improving women's financial outcomes.”
The survey was conducted online within the United States from Feb. 21-23, 2024, among 2,197 adults by HarrisX.
For additional results from this survey, visit www.laurelroad.com/resources/financial-survey-annual-survey-womens-personal-finances.
