Gender gap in superannuation funds slowly improving

Superannuation remains a key component of how Australia's ageing population will manage their retirement. Factors such as property investment can impact superannuation balances, but nothing is as polarising as the large gap between the amounts accumulated by men and women.

Women trailing men in median superannuation balances

The latest findings from Roy Morgan Research have found that for the 12 months preceding June 2015, the average median superannuation balance for men is $62,900 compared with $35,200 being held by women. Comparing median values allows for a more realistic depiction of what the average middle-class Australian's superannuation funds look like without extremely high balances affecting the results. 

While these figures are troubling, they are an improvement, indicating that the gender gap is slowly improving. Roy Morgan notes that in 2005, women only held 44.2 per cent of the male median and now hold 56 per cent. 

With women possessing just over half of what men have, across all age groups, more still needs to be done to spur a more equal distribution. 

What can be done to reduce the gender disparity?

The Association of Superannuation Funds of Australia (ASFA) has been vocal on this issue and hopes to encourage all Australian women to organise their superannuation funds. ASFA is requesting for females to set aside an hour to ensure their superannuation is organised for their retirement and urge women to seek advice if needed. 

Seeking professional superannuation advice can be the key difference to what your balance looks like when you reach retiring age. Currently, men over 65 years are retiring with a median superannuation of $192,600 while women are retiring with a disproportionately lower median of $129,100.

Those who consult specialist advice regarding their superannuation are more likely to see gains when they reach retiring age. Roy Morgan found that those using professional advisors had a median superannuation balance of $102,000. However, those who did not consult a professional had a median balance of less than half than those who did, only $44,000.

Are you concerned about your superannuation? Contact Wilson Porter for the best way to manage your funds.