4 Ways Women Pay More While Making Less (& What to Do About It)

It’s no secret that on average, women are paid less than men. According to recent data, women earned 83 cents per dollar paid to the average man. But economic inequalities extend beyond the pay gap. In fact, even though women make less money, they have to shell out more cash (often just for basic necessities) than their male counterparts. Here is a roundup of some of the ways that our economy takes a bigger bite out of women’s paychecks:

1) The Pink Tax

The pink tax refers to the markup on products and services marketed to women compared to the same or similar products and services marketed to men. Recent estimates suggest that on average, women spend nearly $2,400 more annually than men on the same goods and services. According to one study, products marketed to women cost 7% more on average than products marketed to men. Personal care products had the biggest difference at 13%. Shockingly, senior/home health care products marketed to women cost 8% more than those marketed to men. This is especially concerning considering that women age 65+ have 44% less income compared to men in the same age group.

Some legislators have taken steps to address this issue. In 2020, New York became the first state to ban pricing products differently based solely on gender and California followed suit this year. Similar legislation at the federal level has not made it very far.

What to do about it: Check the prices for products marketed to both men and women. If you find a discrepancy, call the company out on it and consider buying your products elsewhere. 

2) The Tampon Tax

This is a sales tax imposed on menstrual products needed by people who menstruate including cisgender women, some trans men, and some non-binary people. Many states don’t tax items that they consider necessities such as groceries and medical services, or they charge lower tax rates on those products. Too often, menstrual products like pads and tampons don’t make the cut and are instead considered luxuries. As of 2022, 22 states still charged a sales tax of 4-7% on period products. That can really add up over your reproductive lifetime.

Beyond the tampon tax, some advocates are pushing for free access to menstrual products for all who need them. In the summer of 2022, Scotland became the first country to mandate offering free period products in schools, colleges, universities, and local government buildings. 

What to do about it: If you live in a state where period products are taxed, write to your state representative. And while it won’t avoid the state sales tax, you can avoid paying federal taxes on menstrual products by making those purchases through your health savings account (HSA) or flexible spending account (FSA) if you have one.

3) Access to Abortion 

In many states, abortion has become significantly more difficult (and expensive) to access since the overturn of Roe v. Wade. On its own, an abortion costs about $500 in the first trimester and about $2,000 in the second trimester. For women who live in states without widespread access to abortion, the travel expenses associated with getting to a location where they can access one can add thousands of dollars to the cost between gas, lodging, flights, food, and childcare.

Before the end of Roe v. Wade, the Midwest Access Coalition used to spend about $1,000 per patient whose abortion expenses they paid for. Since the overturn of Roe v. Wade, the coalition has seen expenses double to about $2,000 per patient.  

What to do about it: If you support abortion rights and have the financial means, donate to non-profits that help cover abortion costs, including travel expenses, for those in need.

4) The Grooming Gap

The grooming gap refers to the extra cost women bear for conforming to cultural norms of “looking good.” On average, women spend about $50,000 more on their appearance than men do over their lifetime. This extra grooming is financially rewarded in the workplace: a study found that being “well-groomed” led to higher pay among women and men, but it had a more widespread impact on women. Too bad that you’ll probably end up having to spend that extra dough on grooming to keep it up. Along with the money it takes to keep up with social grooming standards, it also takes time: on average women spend 55 minutes per day on their hair and makeup. That’s about two weeks per year! And as the saying goes, time is money.

The grooming gap is arguably felt more intensely by Black women and trans women. A study found that Black women with natural hairstyles were seen as less professional and less competent than white women (regardless of their hairstyle) and Black women with straight hairstyles. For trans women, the effort to conform to what is expected of a “well-groomed” woman comes at a high cost, especially when you factor in expenses like laser hair removal and purchasing a whole new wardrobe.

What to do about it: The tough thing about double standards is that you are damned if you do and damned if you don’t. We don’t have a great solution for this one, but if your grooming routine is already extensive, consider cutting back on one or two areas that you feel are of lower consequence. Use the freed-up time and money for whatever you want.

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