When it comes to financial planning, longevity is a critical — yet often underestimated — factor. And for women it plays an even more central role, as women tend to live longer than men. That’s why taking a proactive and personalized approach to long-term planning isn’t just smart — it’s essential.

The longevity gap

According to the Social Security Administration, a woman turning 65 today can expect to live, on average, until age 85 — and many will live into their 90s or beyond. That’s approximately two decades or more of retirement to fund. This longevity gap creates a distinct challenge, as women need not only more retirement savings but also a plan to manage those assets independently over time.

The earnings and caregiving gap

Despite living longer, women often enter retirement with fewer resources than their male counterparts.

In addition to facing wage disparity, women are more likely to serve as caregivers for children, elderly parents or ailing spouses; and this labor, while deeply meaningful, can interrupt earnings and career progression, which can significantly impact long-term savings potential, investment growth and pension benefits.

Planning around these realities means building in flexibility, projecting conservatively and preparing for periods with limited income.

Health care and long-term care costs

A longer life means more years of health care expenses — and potentially more years of needing long-term care. Unfortunately, Medicare doesn’t cover most long-term care services, and Medicaid is only available to those with limited assets. Women are more likely than men to need extended support, whether that’s assisted living, home care or nursing facilities. And with the average cost of long-term care rising annually, these future expenses should be part of any comprehensive plan.

Planning with or without a partner

Whether due to remaining single, divorce or widowhood, many women will be solely responsible for their finances at some point in retirement. This reality makes financial literacy and autonomy vital. Decisions regarding investment allocations, tax strategies, estate documents and spending plans shouldn’t be outsourced entirely to a partner or financial professional — women need to be engaged participants in the planning process.

Tax-efficient withdrawal strategy

Ideally, you’ll have assets invested across accounts with varying tax treatments (taxable, tax-deferred and tax-exempt). This diversification provides greater flexibility to design a tax-efficient withdrawal strategy. Your tax bracket, Social Security benefits, additional income sources and retirement goals are all important considerations, and a qualified wealth manager can help you develop a personalized drawdown plan that meets your financial needs and minimizes tax impact.

Strategies for longevity-resilient planning

So, what can women do to plan more effectively for their extended retirement horizon?

Start early, save consistently: Even modest, regular contributions can compound significantly over time. Take advantage of retirement accounts like 401(k)s, IRAs and HSAs, and aim to contribute the maximum when possible.

Invest with growth in mind: With a retirement that could span 20—30 years (or more), long-term growth is essential. A conservative approach may feel comfortable, but too little risk can leave you vulnerable to outliving your money.

Delay taking Social Security if possible: Deferring benefits until age 70 can significantly boost your lifetime income — an especially useful strategy for women who expect to live longer.

Build a long-term care strategy: Consider insurance products or savings accounts dedicated to future care needs. A financial advisor can help you compare your options.

Review your estate plan: Make sure your will, your powers of attorney and any trusts reflect your current wishes and support your independence as you age. Work with a trusted advisor: A financial advisor who understands the unique challenges women face can help you develop a tailored plan — one that not only supports your lifestyle today, but adapts to your needs as they evolve.

Empowerment through planning

At the end of the day, financial planning is about empowerment. For women, it’s about acknowledging longevity as both a gift and a challenge and then taking meaningful steps to prepare for a future that may require greater resilience, more independence and a longer time horizon than expected. The right financial partner can help you build clarity, confidence and peace of mind, no matter how long your journey may last.

Hannah Rogge is a wealth manager at Creative Planning (formerly Monterey Private Wealth). She welcomes questions you may have concerning investments, taxes, retirement or estate planning. Send your questions to: Hannah Rogge, 2340 Garden Road, Suite 202, Monterey, CA, 93940. Or you can email hannah.rogge@creativeplanning.com. This commentary is provided for general information purposes only, should not be construed as investment, tax or legal advice, and does not constitute an attorney/client relationship. Past performance of any market results is no assurance of future performance. The information contained herein has been obtained from sources deemed reliable but is not guaranteed.