


Single women, plan now for costs as you age
More women are spending more time living alone. And that’s having a big impact on retirement planning.
A new
Not surprisingly, the oldest cohort spent about 72 percent of their woman years in marriage. But younger women, defined as “mid-baby boomers,” spent only 52 percent of their adult years in marriage. And the figures show a continued downward trend.
The study says the reasons are three-fold: Fewer women get married; when they do marry, they get married later; and more women end up divorced. You likely have seen this for yourself among your family, friends and acquaintances.
The message for women: Don’t count on anyone else for your retirement security.
There’s another statistic that impacts women’s retirement planning: Women, on average, live longer than men. According to the Social Security Administration’s actuarial tables, a 60-year-old male has a life expectancy of 21.55 more years, while a woman of the same age can expect to live another 24.56 years.
Women who outlive their spouses should think about health care expenses. While it’s notoriously difficult to predict future medical expenses (and what programs will be available to pay for them), one study predicts that a 65-year-old man who retires this year will have about $200,000 in health care expenses, while a woman will spend about $35,000 more than that over her retirement lifetime.
And that doesn’t include the cost of long-term care — support not covered by Medicare or supplements, except for a short period after you’ve been in a hospital. Women living longer are likely to be women living alone. Single women need to plan right now for the possibility of requiring long-term help.
I’m not suggesting marriage as a solution, because you could wind up being the “nurse” and still find yourself alone. But there are some steps to consider now, while you have the flexibility to plan.
There’s a lot to be said for being 60 and single. Sixtyandme.com notes that 37 percent of women in the U.S. over age 65 live by themselves and are finding ways to embrace life and enjoy themselves.
But costs add up the longer you live, so it pays to plan. And that’s The Savage Truth.