Estimated Gender Earnings Gap Hit $671 Billion

The gender pay gap continues to narrow, but the estimated earnings lost to that gap over the past quarter century has reached a staggering $671 billion in 2025, according to a new analysis of federal wage data.

Women’s median weekly earnings more than doubled between 2000 and 2025, rising from $493 to approximately $1,089, according to an analysis of U.S. Bureau of Labor Statistics data by career services site MyPerfectResume. During that period, women also narrowed the pay gap, earning about 82 cents for every dollar earned by men in 2025, up from 77 cents in 2000. 

The findings underscore that a smaller pay gap doesn’t necessarily mean a smaller financial impact. As the number of women working full time has grown and wages have increased, the remaining earnings gap now adds up to a much larger loss across the workforce.

“That figure may seem surprising because many people assume a smaller percentage gap would automatically translate into a smaller overall impact. Instead, the opposite happened,” said Jasmine Escalera, a career expert at MyPerfectResume in Miami. “There are millions more women working full time today than there were 25 years ago, so even though the earnings gap has narrowed as a percentage of men’s earnings, the remaining difference adds up across a much larger workforce.” 

Even though women’s median weekly earnings doubled in the past 25 years, the uncontrolled gap — the difference between men’s and women's median earnings without accounting for occupation, education, or other factors — grew by more than 60% to hit $12,324 annually by 2025, MyPerfectResume’s analysis found.

Seeing that disparity expressed in actual dollars underscores the long-term financial consequences of unequal earnings, Escalera said.  

“Looking at the gap in actual dollars tells a more complete story,” she said. “An annual difference of more than $12,000 can have a meaningful impact on someone’s financial life, from saving for retirement and building an emergency fund to affording housing, childcare, healthcare, and other everyday expenses.”

The ripple effects extend beyond a single paycheck. Lower lifetime earnings can translate into smaller retirement savings, reduced wealth accumulation, and greater financial vulnerability later in life. Women also continue to shoulder a disproportionate share of caregiving responsibilities, which can interrupt careers and further widen earnings over time. 

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Other research suggests the challenge may be intensifying. Data released earlier this year by Payscale found that the uncontrolled gender pay gap in the United States has widened over the past year, erasing some progress toward equal pay. Women now earn 82 cents for every dollar earned by men, down from 83 cents in 2025. 

Employer Impact

The data, Escalera said, “offers a reminder that earnings evolve over time, not at a single point in someone’s career.” 

For employers, the findings suggest that closing the pay gap takes more than offering equal starting salaries. Long-term earnings are shaped by what happens after employees are hired — from promotions and leadership opportunities to skill development and compensation decisions throughout their careers.

“Competitive pay is certainly an important place to start,” Escalera said. “But long-term earnings are influenced by much more than a starting salary. They’re also influenced by career progression, whether that’s through promotions, leadership experience, skill development, or taking on new responsibilities.” 

The findings, she said, suggest “there’s value in helping employees understand how advancement works within an organization. Greater clarity around promotion paths and career progression can make it easier for employees to navigate their careers and pursue long-term growth.”

Experts say organizations can also reduce pay disparities by conducting regular pay equity audits, using structured compensation frameworks, expanding access to leadership opportunities, and increasing transparency around promotion and pay decisions. 

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Ruth Thomas, chief compensation strategist at Payscale, previously told SHRM that employers have work to do when it comes to utilizing pay transparency practices by identifying gaps, setting equitable salaries, and monitoring pay equity

“Pay transparency is both a workforce engagement and compliance imperative,” Thomas said. “Transparent, data-driven pay structures are now essential to building equitable workplaces where all employees can thrive.”