Loving the single life? 3 financial tips for divorced women choosing to fly solo

According to the Office for National Statistics (ONS; 23 July 2025), 8.4 million people in the UK live alone, and women make up the majority of these single-person households.

Moreover, research published by Psychology Today (28 October 2024) shows that, on average, women are happier alone than men.

However, if you’re a divorced woman who’s choosing to fly solo, you may need to approach financial planning differently from your married and cohabiting peers.

Read on to discover three financial tips for building the lifestyle, security, and independence you desire as a single person.

1. Prioritise financial planning as self-care

After a divorce, you might face new financial realities, such as adjusting to a single-income household or being solely responsible for managing your wealth for the first time.

In the emotional aftermath of a separation, tackling these challenges may feel overwhelming. Indeed, a fear of making mistakes and perceived complexity could lead you to put off essential financial planning. Unfortunately, this might result in missed opportunities for financial growth and security.

Shifting your perspective and viewing financial planning as a vital form of self-care, rather than an intimidating chore, could be a powerful way of taking control of your money and boosting your wellbeing. Here’s why:

• Empowerment – Being proactive about managing your money places you firmly in the driver’s seat, fostering independence and self-reliance.
• Reduced stress – Having a plan in place may alleviate any anxiety you feel about the future, making it easier to focus on what makes you happy.
• Goal setting – Financial planning allows you to set and achieve goals – whether buying a home or travelling the world – enhancing your quality of life.

2. Keep an emergency fund

Having some funds set aside for emergencies is crucial for financial stability, especially if you’re single. It provides valuable peace of mind that you can cope if something unexpected happens – for example, losing your income due to illness or redundancy.

It also allows you to take calculated risks, such as changing careers, and to make independent choices without relying on others in times of crisis.

Determining how much you need in your emergency fund is crucial. While three to six months of living expenses is often used as a rule of thumb, you’ll need to tailor the amount to your circumstances. Here are a few key things to consider:

• Monthly expenses – Calculate your total essential costs, such as housing, utilities, and childcare.
• Dependant responsibilities – If you have children or other dependants, the amount you save should account for their needs.
• Lifestyle choices and risks – Tailor your fund to the type of lifestyle you expect and potential risks. For example, you might want to save more if you have poor health or low job stability.
• Long-term financial goals – Balance contributions to your emergency savings with other financial goals, such as paying down debt and building your retirement fund.

3. Maximise your pension savings

According to Money Week (10 February 2026), a single person needs almost £230,000 more in their pension pot than a couple to achieve a “moderate” standard of living in retirement.

If you divorce when you’re approaching retirement age, you’ll have less time to build the funds you need.

That’s why it’s important to maximise your pension contributions while you can. This might include:

• Increasing your contributions – Paying into a pension is one of the most tax-efficient ways to save for retirement. As such, if you can afford to increase your contributions, this might be a useful way to bolster your retirement fund – just be mindful of annual limits to avoid tax charges.
• Reviewing and adjusting your pensions – If you’ve left your investments in the default fund selected by your employer or provider, this might not meet your circumstances, needs, or life stage. A financial planner can help you make an informed decision about whether your default fund is a suitable option for you.
• Making the most of employer-matched contributions – If your employer offers to match your pension contributions, aim to contribute enough to receive the maximum match amount.
• Automating payments – This ensures that a portion of your income goes straight to your retirement pot each month, removing the temptation to spend surplus cash on non-essential expenses.
• Checking your State Pension entitlement – Use the government website to get a forecast of how much you will receive when you reach State Pension Age. If you’ve taken time out of paid employment, for example, to care for children, this could affect your entitlement. As such, you might benefit from topping up your State Pension by paying voluntary National Insurance contributions to fill any gaps in your record if you’re eligible to do so.

Read more: Why you may need to save more for your retirement if you’re single

Get in touch

I specialise in supporting divorced women to take control of their wealth and build a lifestyle that makes them happy.

To find out more about how I can help you create a financially fulfilling and secure single life, please get in touch by email at lottie@truefinancialdesign.co.uk or call 03300 889138.

Please note

This article is for general information only and does not constitute advice. The information is aimed at retail clients only.

All information is correct at the time of writing and is subject to change in the future.

Please do not act based on anything you might read in this article. All contents are based on our understanding of HMRC legislation, which is subject to change.

A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance. 

The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts. 

Workplace pensions are regulated by The Pensions Regulator.

Approved by 2plan wealth management Ltd 30/03/2026.