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10 Cities Where Women Outearn Their Partners

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

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Despite the growing prevalence of women in the workforce, the median earnings of women over the age of 25 was $32,679 in 2017, with men’s median earnings for that same age group at $46,152, per U.S. Census Bureau data, who estimated that women only earn nearly 71% of their male counterparts.

The reasons for this discrepancy are stridently debated, with theories ranging from personal preferences to mismatched family responsibilities, cultural pressure, institutional compensation or advancement bias. Whatever combination of factors are keeping women’s pay low, the fact remains that female workers make less than their male counterparts — both at work and at home.

Our new analysis takes a closer look at pay differences between men and women to see how it affects couples. To find out whether some places are more likely to have a balance between male and female breadwinners, we analyzed microdata from the American Community Survey conducted by the U.S. Census for the 50 largest metros in the country.

In an ideal world, men and women would be equally likely to be the breadwinner of a couple. But our analysis found that in the 50 largest metros, women were the main breadwinner in less than 31% of couples’ households.

Key takeaways

  • Women are far less likely to be the breadwinners in a couple, our study found. Even in the cities with the highest rates of female breadwinners, women outearned their partners in just one out of three coupled households.
  • Hartford, Conn., takes the No. 1 spot. In 31.1% of this city’s coupled households, a woman was the partner who earned more. Minneapolis and Columbus, Ohio, follow in second and third place, with female breadwinner rates of 31.2% and 30.7%, respectively.
  • Only 22.6% of couples in Salt Lake City have female breadwinners, earning it the last place spot (50th) on our list. Following at 49th and 48th place are Houston and Riverside, Calif., with female breadwinner rates of 23.5% and 23.9%, respectively.

Top 10 cities where more women outearn their partners

In the 10 major U.S. cities with the highest rates of couples with female breadwinners, roughly three in 10 couples have a woman earning more than her partner.

This is a contrast to other surveys that have found higher rates of female breadwinners, such as 49% of women who said they were the primary breadwinner in an NBC News-Wall Street Journal poll. The difference in these findings could be attributed to single women or single mothers who are the household’s sole income earners. Women may be more likely to be breadwinners in these surveys that include those who report they’re not competing with a partner for that title.

When they are paired up, however, our analysis shows that women are less likely to be the higher earner. Here’s a closer look at the 10 major U.S. cities that had the highest rates of female breadwinners.

1. Hartford, Conn.

Women who are partnered up are the most likely to be the breadwinner if they live in Hartford. Here, 31.3% of coupled women outearn their partner. This could be thanks to the higher parity of pay in this city, where the gap between men and women’s earnings shrinks to just 17.8%.

2. Minneapolis

Next is Minneapolis, which has almost the same rate of female breadwinners, with 31.2% of coupled women earning more than their partners.

Minneapolis also took the No. 2 spot in our ranking of the best cities for working women. Its high ranking is due to a number of factors, but it’s a true standout for low unemployment among women and decent workplace protections for pregnant women and mothers.

3. Columbus, Ohio

In Columbus, 30.7% of partnered women are the breadwinners. Overall, women here make about $0.19 less per dollar than their male counterparts, well in line with the average among all 50 cities included in this analysis.

4. Providence, R.I.

Providence, R.I. has a female breadwinning rate of 30.5%. This is no surprise, given that it was the eighth-best city for working women in our 2018 study.

While the gender pay gap is above average here, at 19.9%, Providence has above-average rates of women in management positions along with better policies for maternity and parental leave.

5. Baltimore

Among women in Baltimore who are part of a couple, 30.2% outearn their partners. Here, women earn just 18.8% less than men, giving them a better chance of landing pay that beats their significant other’s salary.

6. Sacramento, Calif.

The third-best city for working women, Sacramento, also has one of the highest rates of female breadwinners: 30.0%.

It offers a lower pay gap between genders, with women earning just 14.6% less than men. Sacramento also gets a boost from California’s robust policies and benefits for pregnancy, maternity and family leave.

7. Boston

Boston is the next city with the highest rate of coupled households for which women are the breadwinners, at 29.6%. The gender pay gap here is 18.9%, which is just below average.

8. San Francisco

Next is another top city for working women, San Francisco. Here, the gap in median pay by gender is 18.7% and women outearn their partners 29.5% percent of the time. As another Californian city, women workers in San Francisco are also likely to benefit from strong parental and family work policies.

9. Memphis, Tenn.

In Memphis, women are the breadwinners in 29.4% of couples’ households — that’s despite its ranking as the second-worst city for women. It has just a few redeeming factors, however, such as the above-average number of female managers and the below-average childcare costs in Memphis.

10. Richmond, Va.

Couples in Richmond are among those most likely to be led by a female breadwinner, with 29.2% of women out-earning their partners. Women here earn $0.19 less for every $1 male workers earn, only slightly above the average. Still, working women in Richmond are more likely to receive employer-provided health care and more affordable child care costs, which can offset this pay gap.

10 cities where women aren’t breadwinners


Along with the 10 cities that had the highest rates of women out-earning their partners, we also found the 10 major U.S. cities where women were the least likely to be breadwinners. In these cities, around a quarter (or fewer) of women with partners bring home higher pay than their significant other.

Most of these cities were also among the worst places for women to work, including Detroit and Oklahoma City. Still, low rates of female breadwinners isn’t always a sign of a city that disadvantages women, as three of these cities were among the 15 best places for working women: Austin, Texas; Phoenix; and Virginia Beach, Va.

How the gender pay gap affects shared finances

Overall, this study is another sign of how women are often behind when it comes to pay. The gender pay gap is a big contributor to the low rate of female breadwinners, but it affects more than just women.

When a woman is paid less, this impacts her partner too. The entire household comes up short, setting back financial goals such as paying down debt, building security and savings, and managing money day-to-day.

Some women will also feel the pain of the wage gap more than others, too. Same-sex couples comprised of two female earners, for example, will be doubly hit by the setbacks of the gender pay gap. Women who are the sole breadwinners might also find that they’re having to support their family on less pay than many men in the same position. And for women who earn less than their partner, a separation or divorce can be particularly problematic for their finances.

Many of these factors are outside of U.S. women’s immediate control — but that makes it all the more important to focus on improving their finances where they can.

Here are some ways women can work to close, offset, or compensate for the gender pay gap.

Work on increasing your income. The top cities are proof that the gender pay gap doesn’t have to be universal, and many women are finding ways to close or even overcome it. Take a look at your current pay and do some research through sites such as PayScale or Glassdoor to figure out if it’s fair. If it’s not, it might be time to ask to be paid what you’re worth, either with your current employer or a new one.

You can also look out for career training and opportunities that could act as stepping stones to higher-paying positions. You can even create your own opportunities to boost your income and grow your skills with a side hustle.

Share costs fairly. There are a lot of ways for couples to manage their money together, so look into different methods and decide together on one that’s equitable. If your partner earns twice as much as you, for example, does it really make sense to split expenses 50-50? Discuss how you can work with differences in pay to ensure that both assets and expenses are equally and fairly shared.

Make savings a priority. Women in a couple must save for their own future, regardless of what they earn. It can be wise to have your own checking or savings accounts that are held in your name alone, where you can build financial security independent of your partner. It’s also wise to set up your own retirement accounts and contribute to those regularly, as well.

Manage debt wisely. Debt can be a huge source of stress for couples. On top of that, debt accrued in marriage can be considered jointly shared, making you equally responsible for its repayment even if your spouse took it out. So it’s smart to practice good budgeting habits, live within your means and avoid getting into debt. Even if you’re not married, your or your partner’s debt will still affect shared money goals and lower the debtor’s ability to contribute as equally. Work on paying debt off faster, and look into ways to lower costs such as credit card consolidation.

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While women with a partner are still less likely to be the breadwinners than partnered men, it doesn’t have to hold back their finances. Choose a significant other who values and equal partnership and practices sound financial management. Aim for higher-paying positions at work to try to close the gender gap. Then improve your own money skills and knowledge so you can make the most of your income.

Methodology

Analysts used the U.S. Census’ American Community Survey 2017 microdata hosted on IPUMS to determine the percentage of coupled households with a female partner, where a female partner had the higher income. The analysis was limited to the 50 largest metropolitan statistical areas in the U.S.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Elyssa Kirkham
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Elyssa Kirkham is a writer at MagnifyMoney. You can email Elyssa here

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Life Events

The Most Popular Retirement Destinations for Seniors

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Many of us look forward to that sweet day when we’ll never have to set an alarm again. You have no boss, no deadlines and no meetings. Most of us would agree that retirement sounds pretty awesome. Which is why it is so important to plan for it properly.

When it comes time to choose where to live, cost of living and general livability for retirees are typically the two main concerns. In past studies, we have endeavored to look at a cross section of retirees’ concerns, so we can rank the best places to retire. But sometimes, the best places to retire doesn’t always line up with where retirees actually move. We hope to shed some light on senior retiree preferences by finding the top retirement destinations. Here’s a look at the most tempting locations.

Key findings

  • The top 25 retirement destinations is dominated by Arizona and Florida metros. Those two states account for 15 of the 25 metro areas with highest net migration of retirees.
  • The Phoenix metro area was the runaway favorite. This area attracted 19,550 new seniors. Only about 12,421 opted to leave. That left a net influx of 7,129 retired seniors making Phoenix their home.
  • Only two metro areas not in Arizona or Florida made it to the top 10: Milwaukee and Nashville, Tenn. Milwaukee saw a net influx of 3,924 retirees, while Nashville gained 2,831.
  • The busiest and least-affordable metros saw the largest loss of retirees. Cities like New York, Los Angeles, Seattle and San Francisco tend to lose those who left the workforce. This exodus of retirees does slightly help balance population crises in cities like San Francisco which lost 2,731 retirees.
  • Weather and a sense of “affordability” aren’t the only factors attracting retirees. Florida and Tennessee in particular, and Arizona to a lesser degree, have extremely retiree-friendly tax laws. Florida does not tax any kind of retirement income and has relatively low property and sales taxes. Likewise, Tennessee does not tax social security income, which, apart from the BBQ and music, may explain why Nashville is a top 10 retiree destination.
  • California experiences the biggest loss of retirees. Of the 18 California metro areas we analyzed, 14 saw a net decrease in retirees.

Most popular retirement destinations

Phoenix stole the number one spot that retirees are flocking to. But if you prefer less desert and more beach, Tampa, St. Petersburg and Clearwater, Florida came in second place. If you’d take a lake over a beach any day, Lake Havasu City in Arizona made its way into the top 10. And thanks to their low cost of living, midwestern cities may be the perfect place to spend your golden years.

If the top 10 is sounding a little crowded for your taste, you could hop on over to the Pacific Northwest. Slightly less popular – but still highly ranked – is Portland and surrounding metro areas in Oregon and Washington. The Portland-Vancouver-Hillsboro area in Oregon and Washington ranked 11th place. And Eugene, Oregon was also highly ranked as the 19th most popular retirement destinations for seniors. We have to say, Portland has a pretty stellar reputation. We found in a previous study, that Portland ranks seventh as one of the best places to live in America if you’re looking for a balanced lifestyle.

The South is looking mighty appealing too. Of course, plenty of spots in Florida made the list, but so did Nashville, Tenn. Who’s ready for some BBQ? If you desire even more southern charm, check out the Greenville-Anderson-Mauldin region of South Carolina.

Humidity got you down? Golden coast California didn’t make it into the top 10. Hint: high real estate prices. But sunny San Diego ranked 23rd, which is not too shabby.

Least popular retirement destinations

The New York metro area ranked number one in our list of the least popular retirement destinations for seniors. Chicago, Philadelphia and Los Angeles didn’t fare too well either.

Dream locations like Honolulu, Hawaii, and Orlando, Florida didn’t rank as highly as one would think. And on a not so surprising note, bustling metro areas full of workers bees weren’t desirable spots either. Apparently, there is a lot less need for early bird specials in Los Angeles, San Francisco, Atlanta, New York, Seattle and Chicago.

Be prepared for retirement with these tips

Preparing to retire is a big financial undertaking. One you should take seriously and plan for. Consider these tips as you prep for retirement.

Take advantage of catch-up contributions: If you find yourself over the age of 50 and getting ready to retire but fell behind on saving money, you may want to take advantage of catch-up contributions. Usually, the maximum contribution limit to a 401(k) is $18,500 and to an IRA is $5,000. But for those over 50 years of age, catch-up contributions are more flexible, allowing those total contribution limits to be $24,500 and $6,500, respectively.

Adjust your budget: Tightening your budget so you can see how you’ll live on your new income can help you prepare for the adjustment to life in retirement. You may want to consider saving for unexpected expenses like travelling, assisting family and friends and the potential need for medical care or the option of living in an assisted living facility.

  • The 4% withdrawal rule: Generally you’ll need to withdraw around 4% from your nest egg each year. This means that if you have $1 million saved for retirement, you would withdraw $40,000 each year for costs like food and medical supplies. This is just one way of looking at the expected cost of retirement.
  • 75% of income rule: You can also follow the principle of the 75% of income rule. This guideline advises that you should spend between 75% to 85% of your current annual income each year in retirement. Generally your expenses drop after retirement, so ideally this should be enough income for you to live comfortably.

Review and pay off debt: Taking care of debt before you retire is something to seriously plan for. Seniors with credit card debt have a net worth worth of 43% less than those without credit card debt. The high interest rates associated with credit cards can destroy nest egg income.

Because the average credit card interest rate is 14%, seniors who have credit card debt (on average, $4,786) will pay an average of $670 every year for interest charges. With the average investment portfolio not earning more than 8% every year, seniors will on average earn only $4,508 from their portfolio. Sadly, this means that credit card interest can eat up more than 15% of a nest egg income.

Methodology

Data comes from Integrated Public Use Microdata Series (IPUMS). In order to rank the top retirement destinations for seniors, researchers looked at two metrics. Specifically we looked at the number of residents over 65 who were out of the labor force who moved into a metro area and compared it to the number of over 65 residents who were out of the labor force who moved out of a metro area. Those two numbers were then combined to create a net migration figure. This study is ranked based on that net migration figure.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Jacqueline DeMarco
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Jacqueline DeMarco is a writer at MagnifyMoney. You can email Jacqueline here

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A Survival Kit for the Gig Economy

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Survival kit for the gig economy man with bike makes food delivery service
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Long gone are the days when working a single 9-to-5 job was the standard for most people in the U.S. Today, a growing percentage of the workforce needs to have multiple jobs and several sources of income to make ends meet.

According to a Gallup poll, 36% of U.S. workers participated in the gig economy in some capacity in 2018. Gallup’s sample here includes people holding either a primary or secondary freelance job, including both part-timers and workers holding multiple jobs. That’s roughly 57 million people.

Some see the rise of gig economy jobs as a negative development that hurts workers, while others praise the flexibility they offer. Whichever way you feel, we’d like to offer you some sound advice on how to succeed in this type of economy.

What is the gig economy?

The gig economy is that part of the labor market where people find temporary jobs or work with flexible hours to replace — or even add alongside — a traditional full-time job. In the gig economy, hourly and even salaried workers are replaced by freelancers and independent contractors.

Gig economy jobs range from adjunct college professors, to Lyft drivers, to freelance writers. Finding a gig doesn’t always have to be in your professional wheelhouse, either. Many gig economy workers turn their hobbies into money-making activities.

Why do people take gig economy jobs?

A 2017 LinkedIn survey found that the main reason people choose to take gig economy jobs was to make more money — 57% of responses. After that — 46% of responses — came people’s desire to control their own schedules. Other responses included work/life flexibility, being one’s own boss, trying something new and financial hardship.

Interestingly, nearly as many (40%) expressed other reasons related to money: 21% said they were motivated by financial hardship, while 19% responded that they turned to gig work to have some sort of income while between jobs. A number of respondents — 41% — indicated that they freelance in addition to their full-time or part-time job.

How to survive the gig economy

Your reason for entering the gig economy might be different from your neighbor’s rationale. Nevertheless, there are common tips and tricks that can help you navigate this brave new world.

Stay organized

In the gig economy, you can end up with many sources of income. Develop a reliable system to keep track of job opportunities, clients, sent and unpaid invoices and other gig-related stuff. Organize your invoices in a spreadsheet to keep on top of which ones are filled and which remain unpaid, and get a filing cabinet to keep on top of paperwork. If your paperwork is digital, maintain well-organized file folders on your computer so everything has its own place.

Track your earnings

Staying on track in the gig economy means understanding your income. Sure, organizing your invoices is part of it, but more importantly you need to record and analyze your earnings every month. Income can be unpredictable, and rigorously tracking on a spreadsheet can create a more manageable view of your month-to-month budget.

You are a business

When you go out to take jobs or communicate with potential clients, remember that you represent yourself and your business. According to a representative of TaskRabbit, a service for finding gig economy jobs, the best freelancers are those who build strong ratings and reviews, which helps to increase the number of jobs they’re able to book.

“[Our freelancers] can make a good impression before they even meet their client, by highlighting their experience and tools. Furthermore, Clients appreciate [freelancers] who provide prompt responses to task requests,” said the TaskRabbit representative.

Shelli Fitzgerald, who works with TaskRabbit (their freelancers are known as “Taskers”), echoed these keys to success. “Always remember to be kind, trustworthy; make your client comfortable. Be creative, market yourself, ask for referrals from clients and friends.”

Save as much as you can

Without a steady paycheck every two weeks, it can be hard to save regularly. Tracking your income can make things easier, including saving. It can help you find the places where you can save even a little bit, in the event you fall short in the future.

Trying setting up automatic and recurring deposits into your savings account. That can be $25, $100 or as little as $5. As long as you save something — and stash it in a high-yield savings account — you’ll have a financial cushion to fall back on. This can also help you avoid taking on debt from loans or credit cards to cover even the smallest expenses.

“Money is not always steady, so you need to keep a cushion,” Fitzgerald advised. “You also have to save money for the slow times. Never depend on one stream of income.”

Don’t forget about retirement

Just because you don’t have an employer-sponsored 401(k), you can still save for retirement while you’re self-employed in the gig economy — check out individual retirement accounts (IRAs). Traditional IRAs allow you to deposit pre-tax money, then pay taxes on your withdrawals in retirement. With a Roth IRA, contributions are made from after-tax income, and withdrawals are tax-free. Keep in mind that your deposits, whether Roth or traditional, must fall within the annual IRA contribution limits set by the Internal Revenue Service (IRS).

You may also open a solo 401(k). Like an employer-sponsored 401(k), you contribute a portion of your income to the account, which will then grow tax-free. A solo 401(k) is a good option if your income exceeds IRA limits.

Filing taxes is more complicated

Employers don’t automatically withdraw taxes from your gig economy paychecks, leaving you responsible for figuring out your estimated tax payments on IRS Form 1099 each quarter and paying the amount to the IRS yourself. The IRS also assesses a self-employment tax to collect Social Security and Medicare taxes, at a rate of 15.3%. If you’re working for multiple employers in a year, you’ll have several 1099 forms to track and file.

Provide your own health insurance

When you enter the gig economy, you’ll most likely have to fund health insurance yourself or hop onto your spouse’s plan, if available.

Natasha Ishak, a freelance writer in New York City, cited being on her partner’s health plan as a big factor in her ability to freelance full time: “Without that, I am not sure I would have survived solely on freelancing full-time, even though I was hustling 24/7.”

Additionally, check out the healthcare marketplace at healthcare.gov, where you can compare insurance plans from private insurance companies.

Take mental health breaks

In the gig economy, there will be times when it can seem like you should be giving 110% at all times, but that kind of lifestyle isn’t sustainable for everyone. Allowing some time to yourself in a busy schedule can help you stay sane and able to organize your projects.

“One of the biggest things that enabled me to keep on juggling all my different assignments was making sure that I didn’t reach the point of over-exhausting myself,” Ishak shared.

Cut yourself some slack and ease up on the grind for a day or two if you ever start to feel overwhelmed by the work. Even better, breaks like that can help you refresh and overcome any mental blocks.

Tools and apps for the gig economy

Technology is a major enabler of this type of economy. A wide variety of apps and tools give you access to a potentially vast range of job opportunities.

TaskRabbit features gig economy jobs like handyman work, deliveries, and cleaning. It allows you to set your own prices for jobs, too. Plus, freelancers can access educational resources from other people who use the site, as well as perks like discounts on phone bills, financial planning, and rental cars.

“TaskRabbit’s platform acts as [our users’] marketing team, payment facilitator and scheduler,” said a company representative, as well as helping users with fraud prevention and providing them with educational resources and other perks.

Upwork helps you find work that is done online, from animation to customer service to criminal law jobs. It provides both freelancers and clients the ability for easy collaboration through chat, video call and file shares.

The Steady app takes this model a bit further. It helps you find jobs, and also track your gigs so you can continue to find the best opportunities. Steady also includes features to help you keep track of your payments.

Time to join the gig economy

If you’re just starting out in the gig economy, identify what you like to do and what you’re good at. Good with tools? Browse TaskRabbit for repair jobs in your neighborhood. Just browsing gig economy apps can help you find jobs you connect with. There’s a ton of opportunity out there, just waiting for you to grab it.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Lauren Perez
Lauren Perez |

Lauren Perez is a writer at MagnifyMoney. You can email Lauren here

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