The gap in average wealth of Australian men and women is narrowing, according to new research by Roy Morgan.
The Roy Morgan Wealth Report July 2019 found the average net wealth (personal assets minus debt) per capita of females in Australia was $400,000 in the 12 months leading up to March. The female average is 89 per cent of the average for men, which is $449,000.
Pre-GFC, in 2007 the female average net wealth was found to be $236,000, or 80 per cent of their male counterparts.
The average net wealth per capita of Australians from 2007 to 2019 has increased by 59.7 per cent to $424,200. Roy Morgan said the increase is in real terms, allowing for inflation of nearly a quarter, 23.8 per cent.
Both genders were shown to have increased capita net wealth over the last 12 years, but the average woman experienced a 69 per cent increase, while men had an uptick of 52 per cent.
Michele Levine, chief executive of Roy Morgan said while the public has focused on income and superannuation inequality, the new research is a more holistic view of each gender’s average financial position.
“Net wealth has been used here as a more relevant single measure of economic circumstances incorporating all assets, including superannuation and subtracting debt,” Ms Levine said.
“A major contributing factor toward the closing of the wealth gap for females appears to be their increased participation in the workforce which has gone from 56.4 per cent in 2007 to 61.9 per cent in 2019.
“Also, the value of owner-occupied homes in a rapidly rising market, when jointly owned, is a contributing factor to closing the gender gap, as both sexes are gaining equally from what is generally the household’s biggest asset.”
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].