Understanding the Retirement Savings Gap
Many working individuals, particularly women, face challenges in consistently contributing to their retirement savings accounts due to career breaks caused by factors like maternity leave, caring for family members, or working in the informal labor sector. This results in a significant gender gap in retirement savings, leaving many women with limited resources and impacting their quality of life during old age. Ana María Ocampo, Director of TI and Operations at Afore Sura, explains, “With considerably lower salaries, extended lifespans, and fewer contributions compared to men who typically have more stable career paths, the gender gap in retirement savings widens. This leaves many women with restricted resources and substantially affects their quality of life in their later years.”
Tools and Strategies to Bridge the Gap
Pension Projection Tool for Retirement Planning
Afore SURA has introduced the Ruta de la Pensión SURA, a retirement guide that includes a Pension Calculator. This tool allows users to simulate various scenarios based on their current balance, weeks of contributions, and projected future contributions.
- Pension Projection Tool: This feature enables individuals to visualize and plan for their retirement by adjusting variables such as current savings, weeks cotized, and anticipated future contributions.
Specialized Advisory Services to Recover Missed Weeks and Optimize Pensions
Afore SURA’s advisors offer personalized guidance to help workers identify the best strategies based on their individual employment history and retirement goals. These advisors can assist in recovering any missed contribution weeks, thereby optimizing pension benefits.
- Personalized Advisory Services: Experts work closely with individuals to understand their unique circumstances and tailor strategies that maximize retirement savings, taking into account any gaps in contributions.
Key Questions and Answers
- What is the retirement savings gap, and why does it matter? The gender gap in retirement savings is significant due to lower salaries, longer life expectancy, and fewer contributions from women compared to men. This gap leaves many women with limited resources for retirement, affecting their quality of life in old age.
- How can I catch up on missed retirement contributions? Afore SURA offers tools like the Pension Projection Tool and specialized advisory services to help individuals plan and optimize their retirement savings strategies, even if they’ve missed contributions in the past.
- What resources are available to help me plan for retirement? Afore SURA’s Ruta de la Pensión SURA provides a Pension Calculator and personalized advisory services to assist in retirement planning, taking into account your unique employment history and goals.
