Abstract

A substantial percentage of elderly Canadian women live below the low-income cut-off. Traditional gender roles, institutional barriers and a lack of financial confidence, have hindered many Canadian women from planning for their financial well-being in old age. The current investigation studied the extent of financial preparation for retirement in a sample of 149 active and healthy retired men and women 50 years of age and older. Financial satisfaction, regret and anxiety, and life satisfaction were the outcome variables studied. The analysis of the survey data revealed that women lag significantly behind men in their financial preparations for retirement and women tend to experience somewhat more financial anxiety. The incidence of financial regret and anxiety were not high in this sample. Interviews with a subset of 14 retirees suggested that people adapt psychologically to reduced financial circumstances. All the same, anxiety was associated with a decrease in life satisfaction and financial satisfaction for all retirees. Financial regret was negatively linked to life satisfaction for men and women. Interestingly, regret decreased the financial satisfaction of women but not men. Thus, women who have cause to regret previous saving decisions are at risk of decreased financial satisfaction and life satisfaction.