Women’s financial wellbeing in retirement is influenced by a variety of contextual factors and by decisions women make during their life course.

Aotearoa New Zealand provides a universal pension, which is a key source of income for older people (especially those living alone). However, women tend to have less net wealth at retirement than men.

This is because women earn less on average than men. This is due to multiple factors, including:

  • gender and ethnic pay gaps
  • employment gaps with time out of paid work to raise and care for children
  • a higher burden of unpaid work
  • the undervaluation of roles where women are predominantly employed
  • underutilisation, including underemployment where people who are employed but want to work more hours.

Lower lifetime earnings may in turn have impacts on women’s health, wellbeing, economic independence, and ability to save for retirement.

The experience of retirement, and the impact of retirement income policy, is not the same for everyone.

Te Ara Ahunga Ora Retirement Commission conduct research on the impacts of retirement on women and have found:

  • Men have 25% more in KiwiSaver savings than women.
  • The gap becomes more pronounced in older groups, with men aged 56 to 60 holding 37% more in retirement savings than women of the same age.
  • The average KiwiSaver balance as at 31 December 2024 for men was $42,664, compared to women at $34,185.
  • Women aged 65 and over are more likely than men to be living alone in retirement due to their longer life expectancy.
  • Women over 65 receive less income than men – around a third of men aged 65-69 receive less than $30,000 per annum, compared to almost half of women.
  • Personal income plays a significant role in women’s financial resilience and wellbeing, with wāhine Māori overrepresented in the lowest personal income bracket.
  • One in five women have an account but don’t contribute (22% compared to 16% of men).

The Retirement Commission also collate resources around the impacts of retirement policy on different demographic groups in Aotearoa New Zealand, including women, older people, Māori, and Pacific Peoples.

You can find out more on the Retirement Commission’s website.