How Women Can Take Control of Their Retirement and Thrive
Retirement is a milestone I look forward to, but I know that as a woman, I face unique challenges that require a tailored approach to planning. Understanding these differences is the key to building the secure and fulfilling retirement I want.
Longevity Means I Need More Savings
On average, women will likely live 4 to 5 years longer than men, according to data from the UK Office for National Statistics (source: National life tables – life expectancy in the UK, 18th March 2025, Office for National Statistics). That means retirement savings may need to last 20–30 years or more. Without careful planning, women could risk outliving their money. This longer horizon means that I will need to start saving earlier and invest strategically to build a sustainable income that supports me for the rest of my life.
Career Breaks and Lower Earnings Have an Impact
Like many women, I may take career breaks or reduce my working hours to care for children, elderly parents, or other family members. The Scottish Widows Women and Retirement Report found that 63% of mothers reduce their working days after parental leave, compared with just over 16% of men (source: Women and Retirement Report, November 2024, Scottish Widows, 2 Million Participants). These breaks can mean fewer pension contributions and slower career progression.
The Pension Gap Is Real — But I Can Close It
Research from Scottish Widows shows women’s pension pots are, on average, 20% to 39% smaller than men’s. By age 65, this gap can be as much as £100,000. Women also tend to receive about £12,000 per year in retirement income versus £19,000 for men, after housing costs (source: Women and Retirement Report, November 2024, Scottish Widows, 2 Million Participants).
If I were a single woman, divorced, or a single mother, the risks could be even greater — up to 75% of single mothers are not on track for even a minimum standard of living in retirement (source: Women and Retirement Report, November 2024, Scottish Widows, 2 Million Participants). The combination of part-time work, caregiving, and financial pressures makes saving harder.
But there’s good news. Over the last decade, auto-enrolment has significantly increased the number of women saving into workplace pensions. Lowering the enrolment age to 18 and removing earnings thresholds is helping women like me start saving earlier and more consistently.
Empowerment Through Education and Action
Financial education is my best tool for closing the gap. As financial educator Natalia de Santiago points out, once women get past the education barrier, we are just as capable — if not better — at managing investments than men. I may be more cautious with investments, which can mean steadier long-term returns, but I need to balance that with the confidence to pursue growth opportunities.
Starting early and saving consistently is essential. Compound growth is my best friend — even small, regular contributions can grow significantly over decades.
Empowerment Through Education and Action
Financial education is my best tool for closing the gap. As financial educator Natalia de Santiago points out, once women get past the education barrier, we are just as capable — if not better — at managing investments than men. I may be more cautious with investments, which can mean steadier long-term returns, but I need to balance that with the confidence to pursue growth opportunities.
Starting early and saving consistently is essential. Compound growth is my best friend — even small, regular contributions can grow significantly over decades.
Practical Steps I’m Taking Today
• Start Saving Now: Even modest amounts grow over time.
• Increase Pension Contributions: I check if my employer offers matching contributions — that’s effectively free money.
• Explore Investment Options: I diversify and balance risk to grow my pot.
• Track My Savings Ratio: I ensure my expected income will comfortably cover my retirement expenses.
• Top Up National Insurance (NI): I check my NI record at gov.uk/check-state-pension, and if there are gaps, I make voluntary contributions (up to six years back, deadline 5 April).
• Track Down Old Pensions: There’s around £19.4 billion in lost pensions in the UK — I use the government’s pension tracing service to find any I might have forgotten (source: Lost pensions: what’s the scale and impact?, September 2023, Association of British Insurers).
My Future Looks Bright With the Right Planning
I’m encouraged that younger women today are starting their retirement savings earlier than previous generations. While challenges remain, I know that awareness and proactive planning can dramatically improve my chances of a secure, comfortable retirement.
Every little bit makes a difference, especially if you get started today. With the right habits, education, and tools, you can build the financial future you deserve — and retire with confidence.
If you want help understanding the principles of investing and compounding, please get in touch via clio.livingston@sjpp.co.uk or 07404 287911.
The value of an investment with St. James's Place will be directly linked to the performance of the funds you select, and the value can therefore go down as well as up. You may get back less than you invested.
Although the content of the article was correct at the time of writing, the accuracy of the information should not be relied upon, as it may have been subject to subsequent tax, legislative or event changes.
