It’s no secret that women are at an economic disadvantage compared to men. According to U.S. Census Burea data in 2018, women earned 82 cents for every dollar by men. In 2019, consulting firm Korny Ferry conducted a study showing that, on average, only 25% of c-suite titles in firms are women. Pretty pathetic that only 6% of CEO positions are held by women also. To add to that, a woman in her 60s will pay nearly $82,000 in fees that men never have to pay. WTF. Welcome to the Pink Tax.
The Pink Tax is also known as gender-specific pricing. It is not literally a tax but a system of discriminatory pricing on products and services based on gender. While the most common and obvious examples are feminine products (razors, tampons, pads, etc.), this pricing affects more than what you may think. On average, girl toys cost up to 13% more than boy toys, a pair of women’s jeans cost 10% more than a man’s, and a woman’s credit score sits nine points lower than a man’s.
A more well-known tax included in this biased pricing is the tampon tax – a fee that a woman is charged on feminine products. While almost all U.S. states exclude essential items like groceries (or if you’re from Arkansas, a keg of beer) from taxes, all but 15 charges a tax on tampons and feminine products. A little ironic if you ask me, considering these products are required for women.
So, the next time you’re in the razor aisle and tempted to purchase that cheap ten pack of BIC razors for the low price of $2.99, head over to the men’s aisle and pick up the same item for $1.99. The same product and you’re screwing the system – seems fair.