How to Plan for Retirement When You Have No Children

As the oldest members of Generation X approach their 60s, many are doing so while caring for aging parents — managing finances, health-care decisions, housing, grocery runs and the occasional Wi-Fi reset. At the same time, a growing number of these middle-aged caregivers do not have children of their own, which raises a practical question: who will support them when they need help?

The share of Canadian women over 50 without biological children has been rising, reaching 17.4% in 2022. Family sizes are smaller than in previous generations, too, reducing the odds that adult children will be nearby, available, or able to provide care. “Many people assume their adult children will step in for tech help, downsizing or health care,” says Kara Day, a financial planner in Vancouver. “If you don’t have kids to lean on, retirement looks different and requires more intentional planning.”

If you’re approaching retirement without children, what practical steps should you take to prepare for aging? We spoke with experts and gathered their top recommendations below.

Build a community

A large family can act as a built-in safety net. If you don’t have that, you can create one. “Without children to step in, you need to build your own support system,” Day says. That can include friends, neighbours, church or community groups, volunteer networks, and local clubs.

“Make friends with younger people,” suggests Milica Ivaz, principal financial planner at Sensible Financial Solutions in Victoria. The comment is partly tongue-in-cheek, but mixing ages in your social circle helps in practical ways — offering help with heavy lifting or tech, and in emotional and cognitive ways: social interaction supports mental and physical health.

The World Health Organization warns that social isolation and loneliness have a serious impact on health and longevity, so staying socially active matters. Joining groups, keeping up hobbies, volunteering, and maintaining routines all help reduce isolation as you age.

Housing and transportation for advanced age

Think about how your housing and transport needs will change over time. Mobility declines and the end of driving are common realities, so choosing a location with good walkability and transit access can make later life easier.

Larger homes with yards require ongoing maintenance, which is why many seniors downsize. Another option between buying and renting is a life lease, where you pay a purchase price plus monthly maintenance fees for long-term residence without full ownership.

If you want to age in place, consider accessibility improvements such as walk-in showers and wider doorways to accommodate mobility aids. Ivaz also recommends setting up a home equity line of credit (HELOC) to the maximum you qualify for — not to encourage borrowing, but to provide a ready source of funds and reduce the risk of property-related fraud.

Plan ahead for in-home supports and services by researching local options like tech help, home care, senior centres and long-term care (LTC) facilities before you need them. LTC costs can vary widely; for example, private facilities in some regions can range from thousands to many thousands of dollars per month, while subsidized options are more affordable. Depending on your savings and risk tolerance, long-term care insurance may be worth considering.

Get your finances and services in order

Aging brings extra expenses: home maintenance, meal delivery, home care, and small services like furniture moves or tech setup. “While child-free adults may have saved more during their working years, they’ll likely face higher expenses in retirement because they’ll need to pay for services children often provide,” Day says. Budgeting for those ongoing costs is important.

Ivaz breaks retirement into three financial phases: an early “honeymoon” period with more travel and activities, a “settled” phase focused on everyday living, and a later period when you need paid assistance. The required funds for each phase are highly personal, so run what-if scenarios and plan how each phase will be funded.

Simplifying financial accounts as you near retirement reduces hassle and risk. Consolidate where practical, maintain a secure list of accounts and passwords, and consider automating payments to avoid missed bills or fraudulent charges.

Prevent fraud, identity theft and bad decisions

Seniors are often targeted by increasingly sophisticated scams, and early cognitive decline can expose people to risky financial choices. Take practical steps now to protect your money and identity: enable account alerts, use password managers, turn on two-factor authentication, and add trusted contacts to financial accounts so institutions can flag suspicious activity.

Automating bill payments reduces missed dues and hidden overcharges. Periodically review your service contracts and subscriptions to ensure you’re getting fair value. Be cautious online — never share personal information in response to unsolicited requests, and verify before clicking links or downloading files.

Ivaz suggests delaying government benefits like Canada Pension Plan (CPP) and Old Age Security (OAS) up to age 70 when feasible. Doing so can increase guaranteed lifetime income and reduce reliance on market-exposed savings early in retirement. Both advisors also recommend that DIY investors consider professional financial advice as they age; lower-fee advisory options now make this more accessible.

Put legal back-ups in place

Legal documents ensure someone you trust can act on your behalf if you become unable to manage your affairs. Power of attorney (POA) grants decision-making authority to a trusted person, while advance care or health-care directives record your medical wishes in case you cannot speak for yourself.

Estate planning is especially important for people without heirs. Decide how your assets should be distributed — to friends, extended family, or charities — and document your choices in a will. Keep beneficiary designations current so accounts transfer according to your intentions.

Choosing a POA or executor when you don’t have an obvious family option can be challenging. Pick someone who is capable of organizing help and making sound decisions, even if they will hire professionals to do the work.

Know what you want and have a plan

Whether you have detailed preferences for future care and end-of-life arrangements or prefer a more relaxed approach, put the essentials in writing well before they’re needed. A clear, written plan covering housing preferences, care options, financial contingencies and legal documents eases decision-making for you and those who may act on your behalf.

“Plans we created for retirees were often very close to reality,” Ivaz says. Preparing for potential infirmity and having a practical plan in place gives you the freedom and confidence to enjoy retirement. For people without children, that self-built safety net — financial, legal and social — is crucial. The earlier you begin, the stronger it will be.

Read more on planning for retirement:

• “We’re well off in retirement. How can we pay less tax?”
• OAS payment dates in 2025, and more to know about Old Age Security
• CPP payment dates in 2025, and more to know about the Canada Pension Plan
• RRIF and LIF withdrawal rates: Everything you need to know