The wage gap in the United States is coming closer to being closed. According to the U.S. Census Bureau’s new report on income, poverty, and insurance coverage, women earned $0.805 for every dollar earned by men in 2016. While a gap obviously remains, this was an increase from $0.796 in 2015.
Even more notably, this was the first time since 2007 that the female-to-male pay had a statistically significant annual increase.
This change happened during a period of increasing household incomes as well. Household incomes now exceed pre-recession levels, with a median household income of $59,039 in 2016 and the highest number of households ever recorded to earn more than $200,000.
Even though increased incomes have decreased poverty rates from 14.8% in 2014 to 12.7% in 2016, there are still more female-headed households in poverty.
Median earnings for women reached $41,600 while median earnings for men were $51,600. Seeing as how women earned about 70% of what men did in 1990, this shows a slow but steady effort in closing the wage gap. However, among the 40.6 million people living in poverty, women are still more likely to face larger income deficits. Women have a 2.7% higher rate of poverty than men among all ages.
Even among female CEOs at nonprofits, there is still a noticeable pay gap. Male CEOs make approximately 21% more than females at organizations with budgets over $50 million. On the other hand, more women appear to be taking leader roles in nonprofit organizations. The number of groups employing female leaders is 22% among those with budgets of $50 million or above and 57% among those with budgets of $500,000 or less.
Along with the gender wage-gap, there is also a pay gap when it comes to retirement. While the average age of retirement is 63, when it comes to retirement, women are often worse-off than men, sometimes meaning women have to work longer. The retirement pay gap is greatest in countries where workplace pensions are a large portion of retirement savings or where state benefits are linked to lifetime contributions. A shift from public to private pensions is becoming more noticable, which is vital if state pensions are to remain affordable over time.