Peaceful Retirement Starts With Rethinking Women’s Retirement Planning

Retirement planning isn’t one-size-fits-all—and for women’s retirement planning. Many women face longer retirements, more career breaks, and bigger financial gaps than men. Yet most retirement advice still assumes equal experiences for all genders.

If you’re a woman—or advising one—you need a plan that considers these real-life differences. Here’s how to build a retirement strategy that fits.

1. Women Live Longer—So They Need More Income

On average, women outlive men by about five years. But that’s just the average.

Take my aunt, for example, she lived 29 years after her husband passed away. That’s almost three extra decades of bills, healthcare, and rising living costs. My 96-year-old mother has lived 20 years past my dad. There was a nearly 8-year age gap between them which also adds to the potential challenges for married women.

Many advisors use calculators based on the average lifespan. But if you’re a woman, that could leave you seriously underfunded. The earlier you start planning, the better prepared you’ll be to enjoy those extra years.

These issues are multiplied in lesbian couples where both are expected to live long lives. Reassess your retirement expectations every few years to determine what changes in savings, investment target and expected retirement date.

2. Single Women Need Women’s Retirement Planning

Retirement planning is also tricky when you’re Single or widowed. Without a spouse’s income or survivor benefits, your personal savings do all the heavy lifting. Lifetime income options like Social Security, workplace pensions and personal pensions (lifetime annuities) are critical pieces to manage. You can create a personal pension by funding them with 401(k), IRA, Roth accounts or from savings and brokerage accounts.

For single women, it’s crucial to get serious about estate planning—things like financial powers of attorney, healthcare directives, and living wills. The financial powers of attorney and healthcare directives are about your retirement years and not your death. Who will make decisions for you when you can’t make them like you used to? Think of “living” estate planning as self-care for your future self.

3. Funding Women’s Retirement Planning

Many women take time off to care for children or aging parents. These gaps often mean lower lifetime earnings, reduced Social Security checks, and missed personal and matching retirement contributions. But you can increase your contributions if your income allows through work.

In 2025, if you’re fifty or older, you can contribute:

• $8,000 total to an IRA or Roth ($7,000 regular + $1,000 catch-up)
  Source: IRS 2025 IRA Limits
• $31,000 total to a 401(k), 403(b), 457 or Roth 401(k), 403(b), 457 ($23,500 regular + $7,500 catch-up)
  Source: IRS 2025 401(k) Limits

Note that the workplace plans over age 50 catch-up contribution is almost the total of IRA limit including the $1000 catch-up contribution.

Complicating retirement savings further is the fact that there are income limits for the IRA and Roth IRA.

2025 IRA and Roth IRA Income Phase-Out Limits

Key Notes:

• Traditional IRA Deduction Limits: These apply if you or your spouse are covered by a retirement plan at work. If neither is covered, you can deduct the full amount regardless of income. Retirement topics – IRA contribution limits
• Roth IRA Contribution Limits: Your ability to contribute to a Roth IRA phases out within the income ranges listed. Above the upper limit, you cannot contribute directly to a Roth IRA.

In addition, these tax-advantaged savings, you can save money into simple savings, brokerage accounts and tax deferred annuities. How much you need to save will depend on the future life you want to live, your risk tolerance or risk need, and your current resources.

4. The Risk Tolerance Gap’s Effect on Women’s Retirement Planning

Many women also invest more cautiously than men. While caution has its place, being too conservative means your money won’t grow as much over long, time horizons. This may leave a woman with not enough to support her desired retirement lifestyle. Woman should search for resources to learn more about investing. A behavioral smart and empathetic investment adviser can go along way in helping you stay invested if your risk need is beyond your risk comfort.

5. Social Security’s Role in Women’s Retirement Planning

Social Security is often a major piece of a woman’s retirement income. But the rules are complex—especially if you’re divorced or widowed. Also, Medicare can also add to the complexity, especially with its potential Income Related Medicare Adjustment Amount. That is essentially an additional tax on Medicare for those that trigger it.

Spousal benefits, survivor benefits, and delayed retirement credits can all impact what you receive. Knowledgeable advisers must take the time to explain these options clearly, so you can make choices that fit your unique situation. Many investment advisers are not truly knowledgeable about this area, as usually they are not compensated for it. Ask questions to find out if the one you are working with today is knowledgeable. If not, you can find one that helps you in this area only, so that you don’t have to disrupt your primary invest adviser relationship.

6. Women’s Retirement Planning Is Also Emotional

Many women have financial worries tied to emotions—fear, guilt, or uncertainty. Planning for retirement is as much about peace of mind as it is about math.

That’s why finding the right advisor matters. A good financial planner and or investment adviser should create a space where you can ask any question without judgment and get clear, personalized answers. Moreover, you deserve a financial plan that understands your values—not just your numbers.

7. Don’t Go It Alone—Get Professional Help

Retirement planning can feel overwhelming. But you don’t have to figure it all out yourself.

I am partial to those financial and investment advisers that have the Certified Financial Planner™ (CFP®) designation. Among those, look for those who understands the challenges women face. They can help you:

• Make sense of your options
• Maximize your benefits
• Protect your legacy

If you already have an advisor and still feel confused or unheard—it may be time to get a second opinion.

Final Thoughts On Women’s Retirement Planning

Women face distinct challenges from longer life expectancies to career interruptions and income disparities making women’s retirement planning unique. By acknowledging these factors and working with advisors who understand them, women can take proactive steps toward a secure financial future. Starting early, staying informed, and seeking personalized advice are key strategies for overcoming these challenges.

Related Women’s Retirement Planning Resources