looking at act ii of women’s lives · aarp the magazine also contributed financially to the...

AARP FOUNDATION WOMEN’S LEADERSHIP CIRCLE STUDY

EXECUTIVE SUMMARY

Looking at Act II of Women’s Lives: Thriving & Striving from 45 On

APRIL 2006


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The AARP Foundation Women’s Leadership Circle Study

EXECUTIVE SUMMARY

Data collection by

Roper Public Affairs and Media

AARP Project Manager Jean Kalata, Research Analyst, AARP Knowledge Management

©Copyright AARP Reprinting with permission only

601 E St. NW Washington, D.C. 20049 www.aarp.org

April 2006

For more information contact: Jean Kalata, [email protected], tel. 202-434-6311

The AARP Foundation Women’s Leadership Circle Study 2

The AARP Foundation is AARP’s affiliated charity. Foundation programs provide security, protection and empowerment for older persons in need. Low-income older workers receive the job training and placement they need to re-join the workforce. Free tax preparation is provided for low- and moderate-income individuals, with special attention to those 60 and older. The Foundation’s litigation staff protects the legal rights of older Americans in critical health, long-term care, consumer and employment situations. Additional programs provide information, education and services to ensure that people over 50 lead lives of independence, dignity and purpose. Foundation programs are funded by grants, tax-deductible contributions and AARP.

AARP is a nonprofit, nonpartisan membership organization that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. We produce AARP The Magazine, published bimonthly; AARP Bulletin, our monthly newspaper; AARP Segunda Juventud, our bimonthly magazine in Spanish and English; NRTA Live & Learn, our quarterly newsletter for 50+ educators; and our web site, www.aarp.org. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

Acknowledgements AARP wishes to acknowledge the support of many parties in the design, implementation, and reporting of this survey. First and foremost, Teresa Smith and the AARP Foundation initiated the survey, bringing creativity, commitment, and resources to the task of creating the Women’s Leadership Circle to support women at midlife and beyond. The Hartford stepped forth with significant assistance in funding the research, and Beverly Hynes-Grace, Vice-President of the Corporate Gerontology Group of The Hartford, lent her considerable expertise and commitment to the development of the research. AARP The Magazine also contributed financially to the research, and Steve Slon and Karen Reyes were both active in the developmental stages of the research. Many women of the Women’s Leadership Circle also gave generously of their time and expertise in reviewing the research and helping to ensure that it would provide useful information to inform ideas that could be implemented by the Circle. In particular, we would like to recognize Aida Levitan, Aline Walch, Anita Hill, Jan Hively, Judith Brown, Kari Schlachtenhaufen, Rebecca Stahr, Mary O’Loughlin, Mara Mayor, Dr. Susan Blumenthal, Sandy Butler Whyte, and Dr. Phyllis Mutschler for their contributions. Jean Kalata of AARP Knowledge Management managed the research from start to finish, working with Annie Weber of Roper Public Affairs on all aspects of the research.


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Women’s Leadership Circle AARP Foundation Women’s Leadership Circle (WLC) leverages the philanthropic power and passion of women to improve and enhance women’s lives as they grow older.

The WLC seeks to raise national awareness of issues faced by women as they age and to provide resources (both private and corporate) to support initiatives that result in empowerment, protection and security for all women. The AARP Foundation Women’s Leadership Circle is launching a campaign to leverage the economic power and passion of women to:

• Support and strengthen AARP and the AARP Foundation’s long-standing commitment to improving the lives of women as they age by supporting and expanding programs and service.

• Identify and inform the issues that affect women as they age and solidify AARP Foundation’s role as the expert source of information on these issues.

• Collaborate through partnering with other organizations that are focused on the empowerment, security and protection of women as they age.

The WLC will encompass and address the needs of all women. Its work and vision will draw on the vision and expertise of the WLC leaders to provide the Foundation with the benefit of their ongoing involvement.


Preface The AARP Foundation commissioned Roper Public Affairs, part of GfK, to conduct a two-part research study gauging the attitudes and experiences of American women ages 45 and older. The research provides fresh insights into the life experiences and needs of women as they age and will guide the Women’s Leadership Circle in developing programs, information, and services for women at midlife and older.

The research began with eighty-one individual in-depth interviews with women ranging in age from 45 to 90 years old. These women represented a broad range of socioeconomic and ethnic backgrounds, education, work status (employed, homemaker, retired), and marital status. The hour-long interviews explored women’s feelings about their lives, with a particular focus on finances, health, and housing issues.

AARP staff and Women’s Leadership Circle members worked closely with the Roper Public Affairs team to design a survey to quantify the qualitative findings. The survey was administered via a 20-minute telephone interview among a nationally-representative sample of 1,200 women 45 years of age and older. Additionally, the same questionnaire was administered by phone among representative over-samples to result in a total of 500 African Americans, 500 Hispanics, and 500 Asian/Pacific Islanders. Detailed methodology is available in Appendix A.

Interviews took place between August 17 and November 14, 2005, with a one-month pause in interviewing from August 31 through September 28, 2005 due to Hurricanes Katrina and Rita.

Findings based on women 45-plus are projectable to the universe of women 45 and older in the United States within a sampling error of +/- 3%. Findings based on African-American, Hispanic, and Asian American women 45-plus are projectable to the universe of women 45 and older, of those ethnic backgrounds in the United States within a sampling error of +/- 5%.

In this report, when we use the term “women,” this refers to the general population of 45 and older in the United States — which includes proportions of women of different ethnic and racial groups.


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At a Glance • The majority of women 45-plus say they are happier now than they have ever been (65%).

Not only is growing older better than expected, or (sometimes) portrayed, it can be a positive time of life with new rewards.

• Most women 45-plus feel they have a network of friends and family that they can rely on in a time of crisis (92%). Yet three in ten women 45-plus worry about becoming a burden to their families (30%), and two in ten worry that they will be alone in their later years (22%) or that they will have no one to take care of them when they are older (19%).

• While majorities of women 45-plus claim to know what to do to save part of their monthly income (62%), less than one half of the respondents (41%) follow through with their actions. At least one in seven (15%) of all respondents (and 21% of Boomers) say they “never” pay off their credit cards in full.

• Six in ten women 45 and older (61%) feel confident that they will have enough money to enjoy life in their later years. However, the majority (62%) do not have a long-term spending plan for when they retire (including more than half (55%), of women ages 60-plus). When considering income sources for retirement, nearly all women 45-plus (90%) are relying on Social Security to some degree, making this the most common single source for women in their later years.

• Overall, women 45 and older describe their health positively. In fact, four in five (81%) would consider it “good” or better, and more than half (56%) say it is “very good” or “excellent.” Yet nearly three in ten women say having to care for other people leaves them with too little time for taking care of their own health (28%). One in three women 45-plus feel the cost of healthcare or prescription drugs sometimes prevents them from seeing a doctor or getting treatment when they need it (32%).

• One in four women 45-plus worry “a great deal” or “moderate amount” that they will be forced to live someplace they do not want to live in their older years (26%). Four in ten say that if they were alone, they would find the idea of sharing a home with women friends to be appealing (39%).

• Nine in ten women 45-plus say they drive a car or other vehicle at least some of the time (89%). More than half of women 45-plus sometimes find driving to be stressful (53%).


Executive Summary

To me, life right now just seems so wonderful. (Age 61)

Women at midlife and beyond are, for the most part, feeling satisfied with their lives, self confident, empowered, and optimistic that they will be able to realize many of their dreams in the coming years.

Compared with their mothers at the same age, many women interviewed believe they are better off. They feel healthier, better educated, and more financially secure, with more opportunities and life choices open to them. Nearly all say they have circles of friends and/or family to support them.

Midlife and older women are of course quite diverse. Some groups are not as fortunate as others, and their situations are shaped by a combination of their economic security, health status, social connection, and attitude. Nevertheless, this research shows that taking steps to control their own lives — including their finances and health — greatly affects how women feel about their mid lives and beyond.

Some respondents are thriving, enjoying this phase of life, sometimes despite difficulties. Other women feel they are doing relatively well but are avoiding thinking about or dealing with critical issues in their lives and futures. Still others are struggling with life in different ways. Groups that are relatively more concerned that they still have a lot of planning to do include Boomer women, especially those ages 45-59; women living alone; those who have three or fewer sources of income for retirement; and African Americans, Asians, and Hispanics.

This research seeks to explore and illuminate these issues to inform the work of the Women’s Leadership Circle in developing programs to support women in having happy, healthy, satisfying lives at mid life and beyond.


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I. Overall Attitudes

Happiness

The majority of women 45-plus consider themselves happier now than they have ever been (65%). Not only is growing older better than expected, or (sometimes) portrayed, it can be a positive time of life with new rewards.

I’m a lot wiser. I have more life experience, more exposure to the world. My life now is just more than I thought it would be. (Age 58)

A central reason for greater life satisfaction is a sense of confidence and self-knowledge. In one-on-one interviews, women who are happy with their lives said they know more about who they are at this point in their lives than they did before, and they like who they are.

Positive Aspects of Aging

The thing that surprises me about being in my 70s is that it’s so much fun. (Age 75)

In addition to being happier now than ever before, many women 45-plus are experiencing a greater sense of freedom to be themselves, now that they are older (83%). About three in four women 45-plus consider their older years a time for pursuing dreams and doing things they have always wanted to do (77%).

Not only are women 45-plus optimistic about their own lives as they age, they consider older women to be good role models. In fact, 84% know of at least one woman older than they are who they consider to be a personal inspiration.

I admire a lady down the block from me who’s in her 80s. . . . I’m trying to be like her. (Age 76)

Connections

Most women 45-plus feel they have a network of friends and family that they can rely on, particularly in a time of crisis (92%). However, many women worry about what might happen to them as they age. Three in ten worry about becoming a burden to their families (30%), two in ten women worry that they will be alone in their later years (22%), and similar proportions worry that they will have no one to take care of them (19%).

Hispanic women are much more likely than women 45-plus in general, and all other subgroups, to say they worry about these issues. In fact, nearly half of all Hispanic women this age are concerned that they will become a burden to their family as they age (47%). Boomers are more concerned than women 60-plus about not having someone to care for them as they age (24% vs. 16%, respectively) or being alone in their latter years (27% vs. 19%).


II. Economic Security Financial security is critical to women’s well-being. Data from the study suggests that women who feel more financially secure are happier. However, confidence in financial security is not always supported by knowledge or action — there is often a disconnect between what women 45 and older think they are prepared for, and what they appear to be prepared for. Overall, older, married, and wealthier women are the most confident about their finances, are the most likely to have an adequate and accessible emergency fund, and are most likely to pay off their credit card bills each month.

Confidence

I never felt old enough to have to worry about financial security and retirement. . . . Now it’s feeling like a looming truck that’s chasing me. (Age 46)

Women in the qualitative interviews often seemed to exhibit what could be seen as a “false confidence” about their financial situation — that is, they expressed confidence in their financial futures even when they had not taken steps to adequately prepare themselves. This apparent false sense of confidence appears to be mirrored in the quantitative results. Three in four women 45 plus report feeling confident that they are taking the necessary steps to make themselves as financially secure as possible (76%). However, when looking at various aspects of their financial behavior and knowledge, many women did not appear to be doing all they could to protect themselves financially. A sizeable proportion of women (32%) are worried either a “great deal” or “moderate amount” about eventually running out of money to live on.

I dread to think I don’t have enough money saved to be able to live until I’m 100. Oh, my God, nobody wants to outlive their money. (Age 57)

Credit The majority of women 45-plus say they know how to live on their income without using credit (67%). Still, a sizable proportion (32%) says this is only partly or not at all true.

If you haven’t got the money in the bank or in your pocket then don’t use plastic. (Age 63)

At least one in seven (15%) of all respondents (and 21% of Boomers) say they “never” pay off their credit cards in full. Less than one-half of women 45 and older (42%) say they “always” pay off their credit card bills in full each month, and one-fifth (22%) do this “sometimes.”


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Savings and Financial Planning Women 45-plus consider financial planning worthwhile, but some lack the confidence or knowledge to take control of their finances. The majority of women 45-plus (62%) say they know what they need to do to be able to save part of their monthly income, and three in four of all women “always” or “sometimes” put a portion of their income away each month (75%).

We were very careful in planning for our future and I think that’s basically what’s given me most of the freedom that I have. (Age 68)

Not all women are active savers. Although majorities of women 45-plus claim to know what to do to save part of their monthly income (62%), less than one half of the respondents (41%) follow through with their actions.

Many women could benefit from financial planning help. While fifteen percent of women 45 or older say they “always” follow advice from a professional financial advisor, a larger proportion of women do not have, nor know how to find, a financial planner (38%).

Emergency Fund Having an Emergency Fund is important for women 45 and older so they can be better prepared to deal with the unexpected. While many women 45-plus say they have at least some idea of how much money to set aside for emergencies, many women would have great difficulty coming up with the cash. Nearly one in four women this age (22%) say they do not know where they would get the money to pay for such a situation — and 6% say they have no way of paying.

Retirement Planning Six in ten women 45 and older (61%) feel confident that they will have enough money to enjoy life in their later years. However, the majority (62%) do not have a long-term spending plan for when they retire (including more than half, 55%, of women ages 60-plus). When considering income sources for retirement, nearly all women 45-plus (90%) are relying on Social Security to some degree, making this the largest single source for women in their later years.


III. Health Overall, women 45 and older describe their health positively. And women who consider themselves healthier also report being happier. Yet many women 45 and older have trouble knowing what to do to take better care of themselves; and even those who know what they need to do have trouble moving from “knowing” to “doing.”

Perceptions of Personal Health Four in five women 45-plus (81%) consider their health “good” or better, and more than half (56%) say it is “very good” or “excellent.” Women who feel very good or better about their health are more likely to say they are happier now than they have ever been (72% vs. 58%, respectively).

Nine in ten women are confident they are doing all that they can to keep themselves as healthy as possible (91%). Although women 45-plus generally feel positive about their health, a sizable proportion — one in three — report having a health condition that affects what they are able to do in their daily life a “great deal” or “moderate amount” (32%), and one in 10 say such a condition affects them “a great deal” (10%).

General Concerns About Health About one in three women 45-plus (36%) worry “a great deal” or “moderate amount” about losing their independence if their health worsens. This is a greater concern among Hispanics (54%), Boomers (39%), women who have gone through a divorce (46%), or those with less than $50,000 in income (43%).

Nearly three in ten women say having to care for other people leaves them with too little time for taking care of their own health (28%). Asian or Hispanic women are more likely to agree with this statement (43% and 39%, respectively) than African-American women (31%) or women 45-plus in general. Others more likely to feel this way include Boomers, women who do not live alone or who are married or living with a partner, and those currently employed.


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Exercise On average, about four in five women 45-plus (82%) say they do at least 30 minutes of exercise each week, meaning almost one-fifth of all women 45-plus (18%) do not exercise. Two in five women say that, most days, they are just too tired to exercise.

One in four women 45-plus feel that exercise never seems to make a difference (24%), and one in six (16%) say they feel embarrassed or self-conscious when they exercise. However, nearly three in five (58%) say they would be more likely to exercise if they had a friend to exercise with, with 33% saying they would be “much more” likely.

Access to Healthcare Nearly nine in ten women 45 or older say they have a primary doctor that that they feel comfortable with (88%) and similar proportions say they have a doctor they see as often as they need to (90%). However, the cost of healthcare directly affects a large segment of women 45 and older. One in three women 45 or older feel the cost of healthcare or prescription drugs sometimes prevents them from seeing a doctor or getting treatment when they need it (32%).

At the time when you need medical care the most, that’s when the government is cutting back. (Age 73)


IV. Livable Communities Alternative Living Arrangements

I keep telling my friends that we all need to buy a big house with a common area downstairs and live together - not like a nursing home, but truly a place where we have

communal living. (Age 57)

The desire to remain independent in housing is very strong among the women interviewed, tempered by an understanding that some form of assisted living may be needed at some point. Some women 45 or older worry that, as they get older, they will be forced to live someplace they do not want to live. One in four women 45-plus worry “a great deal” or “moderate amount” that they will be forced to live someplace they do not want to live (26%).

As an alternative, many consider the idea of living with their women friends appealing. Four in ten say that if they were alone, they would find the idea of sharing a home with women friends to be appealing (39%). Women who find this idea especially compelling include Boomers (46% vs. 34% of women 60-plus) and women who do not live alone or are married/living with a partner (43% vs. 25% of those who live alone). Among women who think positively about the idea of living with women friends, nearly nine in ten consider the companionship to be the major appeal (89%), along with saving money (85%), safety (80%), help in case of a medical emergency (79%), and sharing household responsibilities (75%).

Driving and Independence

Driving means freedom. The ability to get where you want to go, see who you want to see, see what you want to see. I don’t like to depend on other people too much. I value my

independence. (Age 76)

For many women, driving is essential to their independence. Driving is their way to get out of the house, see people, shop for themselves, and engage in activities.

Nine in ten women 45-plus say they drive a car or other vehicle at least some of the time (89%). Although the majority of women across the board drive, some women are more likely to drive than others. Women who consider their health “very good” or better are more likely than others to say they drive at least sometimes (94% vs. 82%).

More than half of women 45-plus sometimes find driving to be stressful (53%). And about one in four women 45-plus who drive say they worry about whether their driving skills and abilities are good enough to drive on the roads safely today (22%).


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looking at act ii of women’s lives · aarp the magazine also contributed financially to the...

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