March 1, 2026 NAIFA

From Main Street to Capitol Hill: Helping women overcome planning challenges

By Diane Boyle

Women face unique financial challenges as they prepare for and enter retirement. On average, women have lower lifetime earnings than men do, are more prone to career interruptions and frequently have less access to retirement savings vehicles. Women also tend to live longer than men, meaning their retirement savings must stretch farther.

For financial professionals, understanding these obstacles and tailoring guidance and solutions to women’s needs is not just good practice — it is essential to helping female clients achieve financial security in their later years. The truth is, there’s no one better placed than financial professionals to help women have better retirement outcomes. They can do this by instituting sound planning practices and by ensuring policymakers understand the challenges women face.

The fact that women, on average, earn less than men over their lifetimes reduces the amount that women can save for retirement and leads to smaller Social Security benefits (based on lifetime earnings). Women also are more likely to work part time or take time out of the workforce for caregiving responsibilities. Career breaks due to child care or elder care reduce contributions to employer retirement plans and limit the ability of some women to accumulate savings and benefit from employer matching contributions.

Research suggests that on average women have approximately 30% lower incomes in retirement than men have and that women are less likely than men to feel confident about their financial security during retirement.

Women’s increased longevity makes it more likely that they will outlive their assets and creates greater exposure to inflation risk, health care costs and other expenses that mount over a lengthy retirement. At the same time, many preretirement women report that they feel behind in their retirement savings.

Financial professionals have a pivotal role to play in helping women confront and overcome these challenges. First, professionals can help women build confidence and clarity around their retirement goals and expectations. Research from LIMRA shows that women who work with a financial professional are significantly more likely to feel prepared for retirement than those who do not. Advisors can help clients calculate future retirement income needs, model different scenarios and develop a comprehensive written plan that accounts for longevity and inflation risk. As with all clients, solutions and products need to be tailored to fit each individual’s situation.

Another critical area where financial professionals can add value is in explaining and incorporating lifetime income solutions. LIMRA data indicates that nearly half of women aged 61 to 65 express interest in annuities, but a much smaller percentage understand their role in a retirement plan. Educating women about guaranteed lifetime income products and how these can fit into an overall retirement strategy can help women avoid lifestyle deflation in retirement and reduce the risk of outliving their assets.

Financial professionals can also draw on their experience and expertise to advocate on behalf of their women clients with lawmakers and regulators. NAIFA, along with partner companies, regularly sponsors women’s grassroots events. One taking place this month brings in dozens of female financial professionals from across the country to Washington, where they will receive grassroots training, attend briefings on important advocacy issues, and meet with their lawmakers in congressional offices. They will advocate on behalf of all their clients and the financial services profession, but they bring unique perspectives and insights on the intersection of women, families and financial security that lawmakers need to hear.

Financial professionals who understand the obstacles women face in retirement and proactively address them can make a significant impact on women’s financial security. This is true in client meetings and when educating policymakers. With effective political advocacy combined with thoughtful planning, education and personalized guidance, professionals can help women build confidence, increase savings and ultimately achieve greater security in retirement.