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Planning and Financial Literacy: How Do Women Fare?

2008/04/01 by Annamaria Lusardi, Olivia S Mitchell, Olivia S. Mitchell · 1,497 citations
Business, Management and Accounting · Economics, Econometrics and Finance · Social Sciences · #Economic growth #Economics #Finance #Financial Literacy, Pension, Retirement Analysis #Financial literacy #Financial plan #Housing, Finance, and Neoliberalism #Literacy #Retirement, Disability, and Employment

paper · doi:10.1257/aer.98.2.413

published in American Economic Review 98(2), 413-417 (American Economic Association)

openalex publication_date 2008/04/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/08/05

Abstract

Many older US households have done little or no planning for retirement, and there is a substantial population that seems to undersave for retirement. Of particular concern is the relative position of older women, who are more vulnerable to old-age poverty due to their longer longevity. This paper uses data from a special module we devised on planning and financial literacy in the 2004 Health and Retirement Study. It shows that women display much lower levels of financial literacy than the older population as a whole. In addition, women who are less financially literate are also less likely to plan for retirement and be successful planners. These findings have important implications for policy and for programs aimed at fostering financial security at older ages.

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