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Gender, Financial Literacy and Pension Savings

Author

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  • Alison Preston
  • Robert E. Wright

Abstract

The relationship between the gender gap in financial literacy and pension savings is examined in this paper. In Australia, individuals have considerable discretion with respect to how their pension savings are managed. We argue that financial literacy should have a positive impact on the profitability of these decisions. Analysis based on micro‐data from the Household, Income and Labour Dynamics in Australia (HILDA) Survey suggests that a sizable share of the gender gap in pension savings can be attributed to the gender gap in financial literacy. Therefore, policies aimed at improving the financial literacy of women should help improve the living standards of women in retirement.

Suggested Citation

  • Alison Preston & Robert E. Wright, 2023. "Gender, Financial Literacy and Pension Savings," The Economic Record, The Economic Society of Australia, vol. 99(324), pages 58-83, March.
    • Handle: RePEc:bla:ecorec:v:99:y:2023:i:324:p:58-83
    DOI: 10.1111/1475-4932.12708
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    1. Sarantis Tsiaplias & Qi Zeng & Guay C. Lim, 2023. "Retail Investor Trading Intentions: New Evidence from Australia," The Economic Record, The Economic Society of Australia, vol. 99(327), pages 512-535, December.

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