The Pink Tax: Dismantling a Financial System Designed to Keep Women Broke

By Janine Rogan

Unleash your inner financial feminist and smash the patriarchy, one dollar at a time

 

Women don't build wealth in the same way that men do - and it's not because we shop too much. Younger generations are struggling to match the financial successes that generations before them experienced, and this is even more true for women, who continue to earn less for doing the same work as men. As a result of this wage gap, women have less to save, less to invest and, ultimately, accumulate less wealth over a lifetime.

 

In The Pink Tax, award-winning CPA, Janine Rogan, draws from multiple studies, researched statistics, and her own experiences to shine a spotlight on the gender wage gap and the state of female wealth. The pink tax extends far beyond the insulting costs of pink branded products and extends into the very fabric of our society. By dismantling the current systems at play, Janine explores how the financial inequities between men and women are perpetuated, and how those inequities negatively affect not only women but the entire economy.

 

From whether your lattes are really sabotaging your financial goals, to how supporting new mothers and improving childcare is for the benefit of all society, Rogan offers small- and large-scale solutions for both personal and societal change. Because it's time. Time for women to flip the narrative on how we approach financial inequality and untangle the patriarchal systems that uphold our current financial system. The Pink Tax is a financially feminist approach to closing the gender wealth gap and reaching economic equality for women through smashing the pink tax, breaking down bias, and dismantling a financial system built by men, for men.

• Language: English
• Publisher: Janine Rogan
• Release date: May 4, 2023
• ISBN: 9781774583715

Janine Rogan

Janine Rogan, CPA, is a passionate keynote and TEDx speaker. She is the founder and CEO of The Wealth Building Academy Inc. and an award-winning CPA. Her mission is to educate and empower women to confidently and profitably grow their wealth, through financial equality for all.  She has been featured in international media (BNN, Yahoo! Finance, CTV, and more) and has delivered keynotes to thousands of individuals and companies around the world. She currently sits on the CPA Alberta Education Foundation board, the board of the Further Education Society of Alberta (FESA), and the planning committee of the AICPA Women’s Global Leadership Summit. She is also the cohost of the Pink Tax Podcast—where she and Tara Faria smash the patriarchy one dollar at a time. Janine is a University of Alberta alumna, born and raised in Edmonton, Canada, and is currently pursuing her Master of Economics of Sustainability at Torrens University in Adelaide, Australia. She lives in Calgary with her husband, Andrew, and their son, Theodore.

Book preview

Praise for The Pink Tax

"The Pink Tax is a terrific book. Janine Rogan offers punchy advice for patriarchy-proofing your finances, and for how financial institutions can get behind this movement."

Sarah Kaplan, director of the Institute for Gender and the Economy at the University of Toronto’s Rotman School of Management

"The Pink Tax is a must-read for anyone who’s sick of gendered policies, prices, and societal expectations, and who is ready to fight for financial feminism through their daily actions. Janine Rogan takes a pointed look at how women get the short end of the stick in everything from annual raises to interest rates, and what we can do to combat it and build our wealth."

Erin Bury, cofounder and CEO of Willful

"The Pink Tax is full of real-world examples and stats to back up the high cost of being a marginalized gender identity in our society. Not only is a strong case made for the impacts of societal, systemic, and generational trauma that women experience, Janine Rogan also presents a vision with action steps to help us reimagine capitalism."

Chantel Chapman, cofounder and CEO of Trauma of Money

"Janine Rogan masterfully unravels the patriarchal systems holding women back and provides actionable steps to fight back. The Pink Tax is a must-read for women at every age and stage."

Kerry K. Taylor, founder of Squawkfox

"The Pink Tax shines a light on the obstacles women face when it comes to managing their money!"

Shannon Lee Simmons, CFP, CIM, and founder of the New School of Finance

Janine Rogan shows us a clear road map to achieve a financially equal society. Her facts about the Pink Tax will shock you and motivate you to rise up, be in control of your finances, and help other women and girls do the same.

Lesley-Anne Scorgie, founder of MeVest

Gender inequalities are very real and go beyond the financial world. Janine Rogan tackles the issues directly by demanding financial equality, highlighting how building wealth is in fact self-care. This book leaves you feeling empowered and dares you to become part of the solution. Loved it.

Pattie Lovett-Reid, former chief financial commentator at C T V News

An absolute game changer for those left out of the conversation.

Sim & Sonya, founders of Girls That Invest

"The Pink Tax should be required reading for any woman aiming to take control of her personal finances. In this well-sourced book, Janine Rogan exposes the challenges women face when it comes to patriarchal financial systems, but offers exciting solutions that leave you feeling empowered about your financial choices. Janine is your personal finance champion!"

Angela Osborne, c/o The Jilly Academy

Dismantling a Financial

System Designed to

Keep Women Broke

Copyright © 2023 by Janine Rogan, CPA

All rights reserved. No part of this book may be reproduced,

stored in a retrieval system or transmitted, in any form or by

any means, without the prior written consent of

the publisher, except in the case of brief quotations,

embodied in reviews and articles.

Some names and identifying details have been

changed to protect the privacy of individuals.

This book is for educational purposes and is not

intended as a substitute for professional financial advice.

Additionally, the author does not claim to be endorsed

by, nor does she endorse any product, business, firm,

organization, or trademark contained in this document.

Cataloguing in publication information is available

from Library and Archives Canada.

ISBN 978-1-77458-370-8 (paperback)

ISBN 978-1-77458-371-5 (ebook)

Page Two

pagetwo.com

Edited by Kendra Ward

Copyedited by Crissy Calhoun

Proofread by Alison Strobel

Cover design by Taysia Louie

Cover illustration by Peter Cocking

Interior design and illustrations by Taysia Louie

Ebook by Legible Publishing Services

pinktaxbook.com

Theodore, may you grow up in a world where

every man is as strong a feminist as your father is.

You are my everything.

Andrew, I love you more than any words

I’ll ever be able to write.

contents

Got the Pink Tax Blues?

Part 1 Demand Financial Equality

1

Through a New Lens

2

Take Back the Fight

3

The Value of Judgment-Free Cash

4

Payment Isn’t Biased; the Payer Is

5

Cashless

6

Smash Student Debt

7

Out-Waged

8

Perpetuating the Gap

Part 2 Build Wealth for Self-Care

9

Financial Feelings

10

Lattes and Lies

11

The Pain of Payment

12

Patriarchy-Proof Finances

13

Take Back the Bank

14

Disaster-Proof Your Finances

15

Money Mindsets and Mantras

16

Ask for More

17

Financial Confidence

18

Internalized Capitalism

19

Wealth Becomes Her

20

Worth Less

Part 3 Support New Mothers

21

Affordable, Accessible

Childcare Is a Must

22

Parental Leave Penalties

23

For Richer or Poorer

Part 4 Vote for Your Daughters

24

No Justice without Gender Justice

25

National Interests

26

Erasing Barriers

27

Digital Inequalities

The Future Is Equal

Acknowledgments

Notes

The truth will set you free but first it will piss you off.

Gloria Steinem

Got the

Pink Tax Blues?

One of my first money memories is of starting a lemonade stand one hot summer Sunday with two other kids from down the street, a pair of sweet young boys whom I corralled into business with me. Together, we mixed the lemonade, made a sign, and put up the stand, charging a cool loonie (one Canadian dollar) per thirst-quenching cup. Business was brisk that day, and by the time we had sold all the lemonade, we had in its place a respectable bowl full of our neighbors’ loose change. It was time to divvy up the proceeds of the day’s sales.

That’s when I pretended to not understand the difference between a loonie and a quarter. After convincing the two boys that all the coins were of equal value, I divided all the coins equally among us—making sure that most of the loonies were in my pile. My father later audited my split of the proceeds and proceeded to educate us all about the different value of the coins—something he knew I was already keenly aware of. He took me aside and spoke to me about the importance of honesty and integrity. Suitably shamed, I have never tried to hoodwink anyone again.

Perhaps from an early age, I was already fighting the patriarchy. When I was a little girl, I was told that I could be anything I wanted. But if this is so, why is it that, even today, white women in the US make only 83 cents for every dollar men earn?¹ The truth is that because I was born with two X chromosomes, achieving... well, really, anything is more challenging. So it could be that even as a little girl, I realized that having more money was an advantage. Money is a tool that allows you to live a certain life, and while it’s not the be all and end all, it sure makes life easier if you have it.

Because I am an assertive woman who takes charge of her life, I’ve been told I am bossy, pissy, bitchy, controlling, emotional, loud, and angry—all of which are considered extremely negative traits for a woman. I can’t help but wonder if men are ever called these things or if they are applauded for their leadership skills, confidence, and their passion. I think Taylor Swift has it right: I probably would get there quicker if I were man.

When I consider the injustices in my own life, I think of pro-motions I’ve been passed over for, instances I’ve been talked over, moments I’ve been dismissed, times I’ve been discounted for being too young, and words that I’ve been called for speaking my mind. So often we separate sexist behavior and the impact it has on our bank accounts. But these two things are intertwined, and it’s time we understand their connection.

If you’ve heard of the Pink Tax, it was probably in the context of the price discrepancy between products and services that are marketed toward women versus nearly identical ones targeted to men.² Walk into any drugstore or grocery store, and you’ll quickly see that the women’s product is more expensive, or if it’s the same price as the man’s, the amount of product is substantially smaller. At my grocery store in downtown Calgary, the Pink Tax is rampant:

•

Gillette razor (top of the line): women’s $21.99; men’s $15.99

•

Gillette shaving cream: women’s $1.86/100g; men’s $1.76/100g

•

Dove shampoo (same volume): women’s $4.48; men’s $3.99

These are just three simple and easily found examples, but the Pink Tax is so much more sinister than this. It extends into the very fabric of our society, and it costs women a lot over the course of their lives.

I’ve seen pink-branded calculators, earplugs, kid’s helmets, and clothing that cost more—it’s everywhere. Although it may seem like a few dollars and cents don’t make a big difference, it adds up. The Pink Tax costs women $82,000 by the time they are sixty,³ and that figure only includes the things the researchers were measuring. In a 1995 study in the American Economic Review, researchers documented the initial prices women and men were offered at car dealerships. On average, white women were quoted $200 more than their white male counterparts, and Black women were quoted $400 more.⁴ In today’s dollars, those numbers double—meaning Black women are quoted $800 more on average.

But the Pink Tax is about more than what we pay for the things we purchase daily, weekly, annually, and over a lifetime. It is about our jobs, our investments, and our families. The Pink Tax is the price we pay for being who we are in a world designed to keep women broke.

At work, for example, being spoken over is an area that women tend to have domain expertise. This sometimes results in us not putting our ideas forward, which might mean we’re not respected as much as male colleagues. When it comes time for promotions and raises, the impact of always being spoken over results in a negative financial impact in our lives.

The overturn of Roe v. Wade in the US makes it a tumultuous time to be a woman. If we can’t control what happens to our bodies and don’t have access to the basic human right of health care, how are we supposed to control what happens to our bank accounts? And even where abortion care is legal and accessible, often it is women who pay for abortions as well as for the travel costs and time associated with having this procedure.

The patriarchy runs deep.

What is the patriarchy?

The International Encyclopedia of Human Geography defines patriarchy as a system of relationships, beliefs, and values embedded in political, social, and economic systems that structure gender inequality between men and women. Attributes seen as ‘feminine’ or pertaining to women are undervalued, while attributes regarded as ‘masculine’ or pertaining to men are celebrated.⁵

Though you may not always notice them, there are examples of how deep the patriarchy runs in our everyday life. Our society values paid corporate jobs over unpaid care work. The C-suite is dominated by white men. The patriarchy is evident across all media forms—TV shows, movies, and advertising—and when we look at our bank accounts. It’s time for change.

I wrote this book to address what’s happening in our society from a financial perspective and to challenge how the systems that have been perpetuated over hundreds of years impact women’s bank accounts. For the past twelve years, I’ve been passionate about educating millennial and Gen Z women about their finances. This book is the culmination of my research and the biases I’ve uncovered when it comes to women building wealth. While my aim is always to be inclusive, there is not much research to support analysis beyond the gender binary. Because of the lack of data, this book is predominantly focused on cis women. This is a good reminder for me and everyone that we need to collect data as inclusively as possible so we can continue to uncover and solve the issues that all women face.

This isn’t your typical personal finance book. My hope is that as you read it, your eyes will be opened to how unjust our financial system is and to the many systemic barriers and pressures women face—at no fault of our own. I’m sick of old white men telling women to just save more money by skipping the shoe purchase or the latte, without accounting