Despite higher financial literacy, Kiwi women struggle with money worries
New research from the Financial Services Council (FSC) reveals New Zealand women have stronger financial literacy than men, yet they underestimate their capabilities.
The "Insights & Trends: Women and Finance in New Zealand" report shows 66% of women correctly answered three or more financial literacy questions compared to 57% of men, showing better understanding of investment strategies and risk diversification.
Despite this, a persistent confidence gap exists. Over 80% of Kiwi women rate their financial wellbeing as moderate to very low, with approximately 60% reporting they worry about money daily or weekly - significantly higher than the 51% of men with similar concerns.
"Women are more financially literate than they give themselves credit for," the report highlighted, pointing to an increasing disparity between actual financial knowledge and perceived confidence.
The research also revealed concerning financial security disparities, with 61% of women reporting they could only maintain their lifestyle without income for three months or less, and 51% unable to access $5,000 in a week if needed.
Employment and income inequalities continue to affect women's financial wellbeing, with women more likely to work part-time or in unpaid roles. Only 36% of women earn between $50,001 and $100,000+ compared to 50% of men in the same income brackets.
The retirement gap remains fixed at 25% between men and women since 2023, with an increasing trend of women contributing only the minimum 3% to KiwiSaver accounts.
Despite these challenges, women are more proactive about seeking financial guidance, with 78% either currently receiving or considering professional financial advice.
“The data is clear - women are better investors than they think they are,” said Kirk Hope, CEO of the FSC. “We need to shift the narrative from perceived lack of confidence to recognising women’s strengths in financial decision-making.”
The FSC continues to measure financial resilience indicators, with the next assessment scheduled for end of this quarter.
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