Multiple annuities and spousal pensions: a proposal to reduce the gender gap in pensions

Globally, the standard of living of societies is increasing with socio-economic development. As a result, people are living longer and more comfortably, but the birth rate is decreasing and the proportion of older people in society is increasing. There are income inequalities between men and women and there is a longer life expectancy for women, resulting in a gender gap in pensioners’ incomes (GGP). From Eurostat data, in 2019, the level of GGP for pensioners aged 65+ averaged 29% in the EU27. Such large income gaps mean that there is an increasing risk of poverty and social exclusion for women in retirement. The literature examines replacement rates and the pension gap but does not show gender diff erences in pension income. This paper analyses the factors on which the GGP depends and looks for ways to reduce its level. Pensions in the form of life spousal annuities can increase women’s retirement benefi ts and improve their retirement security.