Gender Differences in Personal Saving Behaviors

Fisher, P. J. (2010). Gender differences in personal saving behaviors. Journal of Financial Counseling and Planning Education, 21′(1), pp. 14-24.

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Brief Description:  Gender differences in personal saving behaviors among single person households were investigated using data from the 2007 Survey of Consumer Finances (SCF). Using logistic regression analysis, the researcher found that women were less likely to save in the short term if they were in poor health, but health made no difference for males. Women with low risk tolerance were less likely to save in the short term and to be regular savers. Education increased males’ likelihood of saving in the short term and saving regularly.

Implications:  As single women live longer in retirement and may have lower earnings and fewer working years to accumulate retirement savings, it is critical to educate women on the importance of establishing a retirement plan. Financial advisors and employee retirement plan professionals need to advise single women with low risk tolerance on less risky investments that will allow them to save comfortably for retirement.