Jane vs Joe: mapping out the gender pay gap
By Cristian Angeloni, 5 Apr 19
It is well-known that women tend to earn less than men – but what are the true consequences of that?
Gender pay gap
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At age 35, both Jane and Joe buy a house, valued at $2m, asking for a $1.3m mortgage with an annual interest rate of 1.5% over 20 years.
Based on current pay trends, Joe earns around 10% more than Jane a decade into their professional lives, since she works in an industry that pays women less.
As a result, Jane will probably earn $800,000 less than Joe throughout her lifetime.
