Money Musings 💭 Equal Pay 💵 + COVID-19 resources
This year Equal Pay Day falls on March 31. That's the day that the average woman (and in 2020, also white women) must work into 2020 to earn what the average man earned in 2019.
The numbers are far worse for women of color (August 13 for Black women, October 1 for Native American women, and November 2 for Latinas).
We have you covered with resources that debunk pervasive myths, explain what the pay gap is, and tell us what we can do about it.
Studies show that women are actually negotiating as much as men are, which is really exciting to see. In my previous job, I eventually negotiated for the promotion and raise that I deserved, but it took me learning a lesson the hard way.
I was working for someone who had been in my same position a couple of years prior. He was in the role for two years and then got a huge salary bump 💰 and promotion with a fancy title change. Part of my role was financial planning where I helped map out spending plans for all the corporate departments. I could see everyone’s salaries, so I knew exactly what he earned.
Side note: I always doubled my salary in the projections as a joke. 😂
I worked hard so that I would get the same promotion as my boss did. As the two year mark approached, I was so excited. But… the two year mark came and went and nothing happened. ⏳
After talking to my boss, I found out that he had to negotiate to get that promotion. Not only that, he actually got another job and the promotion and salary increase were used as incentives to convince him to stay.
That’s when I realized that hard work and stepping up into the role you want doesn’t guarantee a promotion. You have to ask for it - sometimes even fight.
As uncomfortable as it was, I started having the tough conversations and asking for the same promotion and raise that my boss received. It took six months and I was really persistent.
Although I did get the promotion in the end, I wonder if how hard I pushed would have had long-term career implications due to the double bind we as women face. Studies show that when women threaten to leave with a better offer or negotiate for themselves, they are penalized and viewed as unlikeable or demanding. For my male boss, this was par for the course.
Have you experienced repercussions from your negotiations? Have you ever waited for the promotion you deserved only to get passed over because you didn’t ask?
PS: ICYMI, we launched our Fiscal Femme Slack Community last week. There is no better time to have an amazing group of money buddies. Fill out this quick survey to be invited to the group. The best part is, it’s free!
MONEY MOVE OF THE WEEK
There are some COVID-19 specific updates that I want to call your attention to. These will not apply to everyone so whichever apply to you are your assigned money moves of the week. 💵
TAX UPDATE: The tax filing and payment deadlines have been moved to July 15th 🎉 (yay for more time!).
FOR THOSE WITH STUDENT LOANS: The Department of Education announced that borrowers with federal loans can defer payments without accruing interest and that interest rates will go to 0% for the next 60 days.
FOR THOSE WITH CREDIT CARD DEBT: Call up your credit card companies. Many are offering to lower interest rates, delay payments and waive fees. This article gives you a rundown of what each credit card company is offering so you have an idea before you call them up.
FOR HOMEOWNERS: Read this. You might qualify for some mortgage relief.
FOR THOSE WITH KIDS: Here’s a rundown of the ‘Families First’ Coronavirus Aid Package. A highlight for the self-employed is a tax credit for paid medical leave.
FOR THOSE FINANCIALLY AFFECTED: You know I’m all about supporting small and local businesses during this challenging time, but if your income has been or will be affected and/or you don't have your rainy day fund where you want it to be, you need to protect yourself and your family. Many companies (especially more established ones) are offering discounts, free services and other relief for those who need it. Call them up.
YOU GOTTA SEE THIS
The Force the Issue Project. At the Fiscal Femme we’re all about aligning our spending with our values. More and more, there are resources available to help us decipher which companies have values that align with our own so that we can purchase accordingly. The activist organizations behind the #GrabYourWallet campaign have taken on forced arbitration in sexual harassment cases through the Force the Issue project. Organizations behind the project include the Grab Your Wallet Alliance, LedBetter Gender Equality Index and the RISE Community (Return on Investment & Social Equity).
Forced arbitration in sexual harassment cases forces employees to settle outside of court. Research shows that forced arbitration more often resolves in favor of the employer and critics say “it can mask corporate cultures that protect serial harassers.” Companies burying sexual harassment cases are not fostering cultures that promote women or equality at work. Here’s the list of companies and their practices, which they continue to update as responses come in. And if you haven’t seen the movie Bombshell, I highly recommend it! It really helps bring the reality of these practices to light.