Earnings Increase with Age, But So Does the Gender Pay Gap
Between age 15 and age 44, earnings increase for both male and female full-time workers, and the gender pay gap follows suit. But between 45 and 54, as earnings continue to increase for men, women begin to experience a decrease in wages. Consequently, the largest median gender pay gap – more than $19,000 annually – occurs in this age bracket, where women can expect to make only 63 cents for every dollar that men make.
Source: US Census Bureau, Current Population Survey, 2017. “Historical Income Tables: Table P-8. Age – People by Median Income and Sex.”
Education Does Not Combat the Gender Pay Gap"
Today, women earn more college and postgraduate degrees than men in every demographic. But women with college and advanced degrees actually see a higher median gender pay gap – more than $20,000 annually for women with bachelor’s degrees and more than $34,000 annually for women with doctorates – than women with lower educational achievement.
Source: US Census Bureau, Current Population Survey, 2017. “Historical Income Tables: Table P-20. Educational Attainment – Workers 25 Years Old and Over by Median Earnings and Sex.”
Gender Pay Gap by State
Pay gaps can be calculated for each state using data from the American Community Survey, which is conducted by the US Census Bureau and distributed to approximately 3 million US households annually.
Source: US Census Bureau, American Community Survey, 2016. “State Median Earnings and Earnings Ratio for Full-Time, Year-Round Workers, by State and Gender.”
Closing the Gender Pay Gap
If the earnings of full-time workers continue to advance at the same rate as they have between 1959 and 2017, the wage gap between men and women in the United States will not close until 2059. But not every state is closing the wage gap at the same rate.
Here’s a look at the projected year that the wage gap will close in each US state.
Source: Institute for Women’s Policy Research, 2017. “Projected Year the Wage Gap Will Close by State.”
Equal Pay is Good for Business
Fair pay – pay that is externally competitive and internally equitable – is key to attracting, engaging, and retaining a diverse workforce.