Skimm Money: Have you been hit with the “Motherhood Penalty”?

How the news affects your finances.

The Very Real Costs of the “Motherhood Penalty”

If you’re a working mom who’s ever felt devalued at your job, or feel like colleagues question your competency, you aren’t imagining things. Add a below-average salary, and sociologists called that the “motherhood penalty.” Women usually see a 51% drop in pay on average after they have their first child, which translates to a loss of roughly $8,000 annually, according to a recent study from Columbia University. (Conversely, dads may actually get paid more than their childfree counterparts.) It’s not that employers are automatically docking pay the second you return to work. It’s more about the cumulative burden on working moms, including a lack of affordable childcare. This can make you feel pressured to reduce working hours, pursue a less demanding role, or take (sometimes even unpaid) time off, according to the American Association of University Women.

All of these factors combined can contribute to a harmful misconception of moms as unmotivated or less driven in their career, which leads to reduced income over time. The motherhood penalty can even hurt people who don’t have kids. Hiring managers have admitted to passing over women merely because they could eventually become moms, according to research from Young Women’s Trust in the UK. This systemic issue won’t be solved overnight, but you aren’t powerless. Here are a few things to consider.

Your move:

• Collaborate. Even when spouses earn the same, women spend approximately five more hours each week on caregiving and housework than men, according to a Pew Research Center report. Discuss how you’ll divide responsibilities (some parents use “Fair Play” cards), and develop an equitable plan for managing kid-related communication, so you’re not the only one fielding calls from school. 

• Advocate. If your organization doesn’t offer paid time off for new parents (since the US doesn’t have federally mandated paid family leave, *sigh*), or if it's inadequate, approach HR to make a change. Customize your proposal with helpful tools found in theSkimm’s #ShowUsYourLeave program. 

• Reevaluate. When possible, look for a gig that checks your career boxes and works for your family. (Check out Moms Relaunch.) Employers are finally recognizing that work-life balance is important for everyone, and some are offering four-day workweeks or fully remote environments.

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Molly Sims is all about authenticity. The model, actor, entrepreneur, and mom shares a look inside her life (including the time she and her daughters hid in a bush to meet Taylor Swift) with her nearly 1 million Instagram followers, and talks about beauty hacks and missteps on her podcast, Lipstick on the Rim. Since the podcast’s debut in 2021, Sims and best friend Emese Gormley talk about everything from tummy problems to trends like facial icing with plenty of shopping recs and silly anecdotes in between. 

Last year, she added beauty founder to her resume with the launch of her skincare line, YSE Beauty (pronounced wise). The products are made with Gen Xers in mind and designed to tackle common woes, such as uneven skin tone, dryness, and hyperpigmentation — all of which Sims says she’s dealt with herself and deserve more attention. She recently sat down for an episode of 9 to 5 ish with theSkimm to share more career advice (including how to leave a job with dignity), and below she talks about how to get (and remain) focused in your own career.

Advice for what to do when you…

Feel stuck... “Find what makes you centered, and remind yourself of what’s important to you.”

Have imposter syndrome… “Tell yourself that you’re worthy, that you’re enough, and that your successes are well-deserved.”

Want to ask for a raise... “Find ways to stand out, and be your best advocate.”

Have to focus… “Block out time in your calendar, and give yourself a deadline.”

Get your paycheck... “Save it! My co-host, Emese may tell you to get something nice, but I say save, save, save.”