Intra-couple gaps in retirees’ financial resources: their extent and predictors across Eastern and Western Germany

Abstract

Intra-couple disparities in economic resources are often downplayed, yet they substantially affect power dynamics, marital satisfaction, and financial well-being during the marriage and have lasting economic consequences in the event of separation. With the growing privatization of old-age security amidst population aging and welfare cuts, understanding economic intra-couple disparities among retired couples and their life-course drivers is increasingly important. Expanding on research that predominantly focused on either singular economic resources or life-course contexts, we use data from the German Socio-Economic Panel Study (2002–2017) to examine intra-couple gaps in both pension wealth and personal net wealth between older spouses in Eastern (n = 846) and Western (n = 2,331) Germany. We find pronounced regional disparities: pension wealth gaps of 12% in Eastern and 53% in Western Germany, contrasted with net wealth gaps of 21% and 8%, respectively. Regression analyses reveal that differences in spouses’ employment histories primarily account for pension wealth disparities within couples but do not explain net wealth inequalities. This suggests that couples may view net wealth, particularly housing wealth, as a shared asset. Our findings underscore the need for continued monitoring of intra-couple economic inequalities, especially as evolving marital norms and increasing individualization may reshape financial dynamics within marriages.