What is the economic cost of being single in America?

What is the economic cost of being single in the United States? Singles seem to be the new fad. Today, only 51% of American adults are married, and nearly 30% of households...

Singles seem to be the new fashion. Today, only 51% of American adults are married, and nearly 30% of households are single, a record high in American history.

Since 1960, the share of Americans living alone has doubled. Currently, there are 120 million singles in the United States, including those who have never been married, are widowed or divorced. Being single not only brings freedom to life, it also comes with a price tag. According to the Consumer Expenditure Survey, singles spend a larger share of their budget on food, housing, taxes and health insurance than married people, and singles contribute approximately $19 trillion to the U.S. economy each year. More and more companies are launching products suitable for the services and needs of singles, treating them as a force that cannot be ignored.

The following are the situations of several single people in the United States and the financial challenges they face: (1) Single parents According to the U.S. Census Bureau, there are 13.6 million unmarried parents living with their children in the United States, including 10 million unmarried mothers, 1.7 million unmarried fathers, and 1.9 million unmarried couples. Half of single mothers earn less than $25,000 a year, and their median household is one-third that of married couples. Only one-third of single mothers receive any child support, and the average amount is about $300 per month. Without a life partner to share the responsibilities of raising young children, many single parents also need the help of day care centers. However, according to the 2012 Understanding Toddlers report in the United States, there are 35 states and the District of Columbia in the United States. The average annual cost of infant care centers is even higher than the cost of in-state students at public universities.

(2) Single Seniors James Heafner, executive director of financial solutions, said: "Single people have a more difficult time preparing for retirement. Research shows that having other people assist with planning does make a difference." A 2011 Charles Schwab survey found that 85% of married Americans were prepared to save for retirement, while only 67% of single people were prepared. These ill-prepared retirees may pay a greater price, especially women, who live longer on average than men. "You're not going to be able to rely on other people's IRAs or 401(k)s, or any retirement savings, which means you have to be on your own to solve your money problems in retirement," James said. "You're relying on your own Social Security, not your spouse. And because you're single, you're paying a higher tax rate throughout your life." A study by the Heller School of Social Policy and Management at Brandeis University, titled: "Living More and Less: A Safety Net for the Elderly in the New Economy," found that only 16% of single elderly people feel financially secure, compared with 31% of married elderly people. For women, the situation is even worse. For women aged 65 and over, the poverty rate is 11.5%. However, for single older women, the rate is almost twice as high, at 19.1%.

(3) The cost of living alone There are approximately 33 million people living alone in the United States, and many of them choose to live alone. Currently, single people purchase one-third of all real estate. According to the National Association of Realtors, unmarried men account for approximately 10% of home purchases. Unmarried women account for 21% of all homebuyers. However, the majority of singles rent, and average rents hit record levels this year, with 27 cities seeing average rents top $1,000. "If you're single, you don't have anyone to share the basics of living with, like utilities and maintenance costs," said Rick Kahler, president of Kahler Financial Group.

An analysis of American Community Survey data shows that for older singles, the cost of living alone is just the cost of housing, which accounts for nearly 35% of their income. In contrast, if they do not live alone, housing expenses account for only 22%. According to the National Association of Singles, health care, retirement and other benefits are structured with married people in mind, with unmarried people receiving an average of 25% less benefits. Furthermore, single people typically pay more for car and home insurance. Therefore, some experts encourage single people to apply for disability insurance if they are injured or sick because they do not have a partner or spouse to rely on. As for the cost of health insurance, it is also a heavier burden for single people, because without a spouse's plan, if they lose their job and lose their job's medical insurance, they will face more life problems.