Introduction
Planning for retirement on your own isn’t a disadvantage. It’s an opportunity to build a financial future entirely on your terms. More women than ever are navigating retirement solo, and the landscape is changing rapidly.
Financial independence in retirement isn’t just about having enough saved. It’s about creating a plan that gives you the confidence, resources, and flexibility to navigate life’s next chapter based on your goals.
Whether you’ve never married, divorced, or found yourself widowed, the principles of sound retirement planning remain consistent: Start with the facts, make a plan, and surround yourself with the right team.
This guide walks you through the key decisions you could face — from Social Security to estate planning — in clear, actionable language.
One of the most important retirement question single women can ask is:
The Solo Retirement Reality in Numbers
These numbers aren’t meant to alarm you. They’re meant to inform you. Because knowing what you’re working with is the first step toward making smart financial decisions.
- More than half of adult women in the U.S. are currently single.1 That figure has grown steadily over the past two decades and includes women who have never married, those who are divorced, and those who have lost a spouse.
- Women live longer than men, on average by five to six years.2 That longer lifespan is a gift, but it also means your retirement savings may need to stretch further than a couple’s would. A woman retiring at age 65 today may need to plan for 25 or more years of living expenses. That’s a meaningful planning horizon.
- Social Security provides a single benefit for single women rather than the combined household benefit a couple may receive. A single retiree receives roughly one-third less in combined lifetime benefits compared to a married couple with similar earnings histories.3 That gap may make the claiming strategy a critical decision, not an afterthought.
- Single women ages 55 to 64 hold an average of $88,600 in retirement savings, compared to $136,685 for single men in the same age group.4 That’s a gap of nearly $50,000, before factoring in longer life expectancy and higher projected care costs. Fewer than one in five women workers say they’re very confident they’ll be able to retire comfortably.5
Three questions to ask your advisor:
- What’s the right Social Security claiming age for my situation?
- How do I estimate how much I’ll need to retire on my own?
- What long-term care options make sense for where I am financially?
Income Planning Without a Spouse
Social Security by marital status
Your Social Security options depend significantly on your marital history. Here’s what you need to know.
- Never-married women: You may collect only your own earned benefit, calculated on your 35 highest-earning years. Gaps in your work history, including time spent caregiving, may reduce your monthly payment. Working longer, even part-time, can help fill those gaps.
- Divorced women: If you were married for at least 10 years, you may be eligible to collect a benefit based on your ex-spouse’s earnings record — up to 50% of that benefit at full retirement age — without affecting what your ex-spouse receives. If your ex-spouse has passed away, you may be eligible for a survivor benefit of up to 100% of their benefit.7 This is known as the 10-year marriage rule, and it’s one of the most underutilized provisions in Social Security.
- Widowed women: You may be eligible for survivor benefits as early as age 60, or age 50 if disabled. The survivor benefit may be up to 100% of your deceased spouse’s benefit. Timing matters here: Claiming too early may permanently reduce your payment.
RMD planning without a spousal beneficiary
Beginning at age 73, you’ll be required to take required minimum distributions (RMDs) from traditional IRAs and 401(k)s. Working with a financial professional to map out the tax impact of those distributions — and whether Roth conversion strategies in your early 60s may make sense — may help reduce your tax burden in retirement.
The bucket strategy for solo retirees
One approach that can work well for single women is what’s often called the “bucket strategy.” This involves organizing your assets into short-term, medium-term, and long-term pools based on when you’ll need them.
- Bucket 1 (years 1-3): Cash and short-term savings for immediate living expenses. This bucket may help protect you from having to sell investments during a market downturn.
- Bucket 2 (years 4-10): More conservative investments, such as bonds or balanced funds. This bucket is designed to refill Bucket 1 over time.
- Bucket 3 (years 11+): Growth-oriented investments you won’t touch for years. This bucket is designed to seek growth that may help outpace inflation and sustain your income over a long retirement horizon.
As a solo retiree, a structured approach to withdrawals may help reduce the emotional pressure of managing income on your own as well as give you a clear picture of where things stand at any time.
Consulting with a Mercer Advisors wealth advisor on income planning in retirement can help you have confidence that you’re making the right decisions for financial security.
Long-Term Care and Housing Decisions
Long-term care is one of the most significant financial risks single women face in retirement — and one of the least planned for. Without a spouse to serve as an informal caregiver, the cost of professional care falls entirely on you. That reality can make early planning especially important.
A private room in a nursing facility averaged more than $129,000 per year in 2025.8 Getting ahead of this cost, even modestly, may give you more options later.
Home health aide services, often less expensive than a nursing facility, can add up quickly over time. Medicare generally does not cover long-term care beyond a limited rehabilitation period, leaving most of the cost responsibility with you.
Self-insurance vs. long-term care insurance
If you’ve been building your savings steadily, you may reach a point where self-insuring becomes a viable option. Self-insuring is simply setting aside enough assets to cover a potential care need. The trade-off is that you’re committing those assets to a potential future need rather than to growth or legacy.
Long-term care insurance, including newer hybrid policies that combine life insurance or annuity features with long-term care benefits, may offer a more predictable cost and protect your other assets. Purchasing a policy in your 50s is typically much more affordable than waiting until your 60s. A conversation with your advisor may help clarify which approach fits your situation.
Housing options
Aging in place means staying in your current home as long as possible, potentially with modifications for accessibility and paid home care support. It offers familiarity and independence but may require careful planning for maintenance costs and care coordination.
Downsizing can free up equity, reduce expenses, and simplify your life. Moving to a smaller home may improve your financial position while maintaining independence.
Continuing care retirement communities (CCRCs) offer a continuum of care in one location, from independent living to assisted living to skilled nursing. Research the financial health of any community carefully before committing.
At Mercer Advisors, our wealth advisors collaborate with our insurance solution specialists to help find the right solutions for each client’s financial situation.
Estate Planning When You’re the Only Decision-Maker
If you don’t have a spouse to step in and make decisions on your behalf, your estate planning documents can be even more important — and more urgent. Without them, the state may decide who manages your affairs and receives your assets.
Healthcare proxy and financial power of attorney
A healthcare proxy (also called a healthcare power of attorney) designates someone you trust to make medical decisions on your behalf if you’re unable to. Without one, these decisions may fall to family members who don’t know your wishes or, in the absence of family, to a court-appointed guardian.
A durable financial power of attorney gives a trusted person authority to manage your finances if you become incapacitated. For single women without a spouse, this document may be one of the most important you’ll ever sign. Both should be reviewed and updated regularly, especially after major life changes.
Beneficiary designations without a spouse
Many assets pass directly to your named beneficiary, outside of your will. These include retirement accounts, life insurance policies, and certain bank accounts. Review your beneficiary designations at least every few years. You can name virtually anyone: a sibling, a trusted friend, a niece or nephew, or a charitable organization.
Trust structures for single women
A revocable living trust may help your estate avoid probate and give you far more control over how your assets are distributed than a will alone. Probate can be a lengthy, costly, and public process. If you’re single with no children, a trust may help ensure that assets reach the people, causes, or organizations you care about.
Mercer Advisors has estate specialists that can coordinate with your wealth advisor to help ensure your financial plan and your legal documents are aligned.
Retirement Readiness Checklist
Key steps to take at every milestone — from age 50 through retirement and beyond.
Age 50: Build your foundation
Age 55: Sharpen your plan
Age 60: Prepare for the transition
Age 65+: Live your plan
Working With the Right Advisor Team
Not all financial advisors have deep experience with the specific planning needs of single women. When you’re evaluating, look for a financial advisor for women who understands the Social Security nuances for unmarried, divorced, and widowed situations; who proactively raises long-term care planning; and who treats estate planning as a core part of financial planning — not a separate conversation.
An advisor who serves as a fiduciary is legally obligated to act in your best interests. That distinction matters when you’re making decisions without a partner to serve as a second opinion.
At Mercer Advisors, our team includes experienced professionals who work specifically with single women navigating the full range of retirement planning decisions. We offer integrated financial planning that brings together investment management, tax planning and preparation, estate planning, and insurance solutions — all in one place, all working together for you.
You don’t have to figure this out alone. You deserve a team that understands your life.
With women composing nearly half of our client-facing team and a third of our senior leadership team, we’re distinctively positioned to help more women achieve financial success.
Schedule a complimentary consultation with a Mercer Advisors professional today.
FAQs
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The right number depends on your lifestyle, expected longevity, and income sources — but a commonly cited starting point is 25 to 30 times your anticipated annual expenses. For single retirees, a more conservative target of 28 to 30 times may be appropriate since you won’t have a second income to fall back on during market downturns or unexpected expenses. At $50,000 in annual spending, that means targeting roughly $1.4 million to $1.5 million before factoring in Social Security or other income sources. A Mercer Advisors wealth advisor can help you build a more precise projection.
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The bucket strategy organizes your savings into three pools based on time horizon: a short-term bucket covering your first one to three years of expenses in cash or cash equivalents, a medium-term bucket in more conservative investments to refill the short-term pool, and a long-term bucket in growth-oriented investments for the years ahead. For single women managing income without a second earner, this structure may reduce the stress of market volatility by helping ensure near-term expenses are covered regardless of what markets do.
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For most single women, delaying Social Security as long as possible — ideally to age 70 — can increase your monthly benefit by as much as 77% compared to claiming at 62. Because you’ll be living on one benefit rather than a couple’s combined income, the difference between an early and a delayed claim can be substantial over a 25- or 30-year retirement. A Mercer Advisors wealth advisor can run a personalized scenario analysis to help you decide.
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Long-term care (LTC) insurance is worth serious consideration for single women, who don’t have a spouse to serve as an informal caregiver and must rely on paid services if care is needed. Hybrid policies combining life insurance with LTC benefits have grown in popularity, offering a death benefit if care is never needed. A conversation with a Mercer Advisors wealth advisor can help clarify which approach makes sense for you.
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As soon as possible — but if you’re in your 40s or early 50s and haven’t yet engaged with a retirement-focused advisor, now is a good time to start. The decisions you make between ages 50 and 65 — around Social Security timing, long-term care planning, estate documents, and Roth conversion strategies — may significantly shape your retirement security. A complimentary consultation with a Mercer Advisors wealth advisor can be your first step.
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Start by researching the full spectrum of care options available in your area, including home health aides, adult day programs, assisted living communities, and continuing care retirement communities (CCRCs). Then assess your financial picture: How much might you be able to self-fund, and where might insurance fill the gap? A Mercer Advisors team can help you think through this as part of a broader retirement plan.
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You can name any individual or entity as a beneficiary — a sibling, niece, nephew, trusted friend, or charitable organization. For retirement accounts and life insurance, beneficiary designations supersede your will. Review these designations at least every few years, especially after major life changes. A Mercer Advisors estate planning specialist may recommend naming a trust as the beneficiary rather than an individual directly if you want more control.
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If you were married for at least 10 years before divorcing, you may be eligible to collect a Social Security benefit based on your ex-spouse’s earnings record — up to 50% of their benefit at your full retirement age, or up to 100% if they have passed away. This benefit does not reduce what your ex-spouse receives, and you don’t need your ex’s knowledge or cooperation to apply. A Mercer Advisors wealth advisor can help you compare both options before you claim.
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A durable power of attorney designates a trusted person to manage your financial affairs if you become unable to do so yourself. For single women, this document is particularly important because there’s no spouse to step in automatically. Without the power of attorney, a court may need to appoint a guardian — a process that can be costly, time-consuming, and entirely out of your hands. You can work with a Mercer Advisors estate planning specialist to create this document as part of a broader estate plan.
1 “Census Bureau Releases New Estimates on America’s Families and Living Arrangements.” U.S. Census Bureau, Dec. 2, 2025.
2 “Mortality in the United States, 2024.” CDC, NCHS Data Brief No. 548. Jan. 29, 2026.
3 “Benefits Planner: Delayed Retirement Credits.” Social Security Administration.
4 “Report on the Economic Well-Being of U.S. Households in 2025: Savings and Investments.” Federal Reserve, May 2026.
5 “25 Facts Highlight Women’s Risky Road to Retirement.” Transamerica Center for Retirement Studies, Nov. 19, 2025.
6,7 “Benefits Planner: Delayed Retirement Credits.” Social Security Administration.
8 “Women Often Outlive Men. Here’s How They Should Approach Their Long-Term Care Needs.” CNBC, June 7, 2026.
All expressions of opinion reflect the judgment of the author as of the date of publication and are subject to change. Some of the research and ratings shown in this presentation come from third parties that are not affiliated with Mercer Advisors. The information is believed to be accurate but is not guaranteed or warranted by Mercer Advisors. Content, research, tools and stock or option symbols are for educational and illustrative purposes only and do not imply a recommendation or solicitation to buy or sell a particular security or to engage in any particular investment strategy. All investing involves risk, including the possible loss of principal. Changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.
Mercer Advisors is not a law firm and does not provide legal advice to clients. All Estate planning document preparation and other legal advice are provided through select third parties, with which Mercer Advisors has a contractual relationship. Mercer Advisors Tax Services, LLC, does not provide financial audit, assurance, compilations, or forensic accounting services. Each individual tax situation is unique, depending on complexity, additional fees may apply. Insurance products are provided by Mercer Advisors Insurance Services, LLC (MAIS), which places individual life, disability, long term care coverage, and property and casualty coverage through select insurance companies. Trustee services are offered through select third parties with which a client would sign an additional agreement, and additional fees may apply. Any annuity guarantees are subject to the claims paying ability of the offering insurance company.
For financial planning advice specific to your circumstances, talk to a qualified professional at Mercer Advisors
Tax preparation and filing services are provided by Mercer Advisors Tax Services, LLC. Clients will sign a separate agreement when engaging Mercer Advisors Tax Services that defines the services provided and any additional fees that may apply.
