What’s retirement like? The answer may depend upon whether you’re a man or a woman.
Women report more positive experiences in retirement than men, yet also say they are more likely to experience negative emotions, especially stress, before retirement, according to a study conducted by MassMutual. The study’s findings have implications for retirement planning, both financially and emotionally.
“Women often experience high levels of stress before retirement as they juggle both professional and family responsibilities,” said Elaine Sarsynski, executive vice president of MassMutual Retirement Services. “We are learning that the stress women feel often carries over into retirement, but we’re also hearing that women often make more of their retirement opportunities and experiences than men.”
The study surveyed 905 retirees within 15 years after retirement and 912 pre-retirees within 15 years before retirement. The responses for both groups were evenly split between men and women, and respondents had a minimum of $50,000 in retirement savings.
Before retirement, women were much more likely than men to report being stressed: The study found 49 percent of women pre-retirees were at least moderately stressed compared with 38 percent of men.
Saving for retirement contributes to positive emotions and experiences in retirement, the study found. Those with a 401(k) or other retirement savings plan were more likely to experience positive emotions than those without. Of those with savings, 74 percent said they were “extremely” or “quite” happy, compared with 68 percent who did not participate in a retirement-savings plan.
And 70 percent of retirement-plan participants said they were “extremely” or “quite a bit” relaxed compared with 61 percent who did not have a plan.
“Overall, positive emotions for both men and women tend to increase and negative emotions tend to decrease in retirement,” said Mathew Greenwald, president of Greenwald & Associates, whose firm conducted the study for MassMutual. “People also tend to exaggerate expectations for retirement, especially women, partly because it’s difficult for many people to envision what life in retirement will actually be like.”
In the years before retirement, women have markedly higher expectations than men for enjoying the social aspects of retirement and somewhat lower expectations for their financial fortunes.
During retirement, women reported having less free time than men but were more likely to have new experiences, find more time for friends and enjoy more opportunities. Men’s expectations tend to be more in line with their eventual experiences, which are typically less fulfilling than women’s, according to the study.
Sarsynski recommended that pre-retirees take steps to help themselves gain a more concrete understanding of what their lives may be like once they retire. — brandpoint