Why Childfree Financial Planning Needs Its Own Approach
- Marc Lowe
- Aug 15
- 5 min read
Over the past 10 years, I have worked with hundreds of families with retirement goals that were very different. I have heard everything from, "I want to spend my last dollar on my deathbed" to "I don't want any long-term care help down the road, I'll just ask my kids to roll me out of the van on the side of the road".
The dynamic changes based on the individual or couple I am working with. The clients who I made sure to take very careful notes and extra care in listening to has been the "Childfree" individuals and couples.
Why?
When most people think of financial planning, they picture families—college savings accounts, legacy planning for children, life insurance for dependents. But for a growing number of Americans who are intentionally childfree, these assumptions don’t apply. And when advisors fail to acknowledge that, it’s not just a missed opportunity for the client—it’s a missed opportunity for the profession.
Understanding the Childfree Client
Let’s start by defining terms. “Childfree” refers to individuals or couples who have made a deliberate and permanent choice not to have children. This is different from being “childless,” which may imply someone wants children but does not currently have them.
That distinction matters. Childfree individuals often face subtle judgment, not just from society, but even from the professionals they hire. Financial planners who assume that everyone is saving for a future that includes children risk alienating a client who has chosen a different path.
Instead, planners should take the time to understand the values and goals that matter to the childfree population—and tailor the financial strategy accordingly.
Why Traditional Planning Doesn’t Fit
Traditional financial planning tends to be built around life stages that include children: saving for their education, securing their future through life insurance, and eventually passing down wealth. But for childfree clients, the planning priorities shift.
Some key differences include:
Legacy goals are often non-familial. Childfree clients may want to leave money to causes they care about, close friends, nieces/nephews, or even to no one at all.
Spending flexibility is typically higher. With fewer obligations tied to dependents, there’s often more room to prioritize travel, hobbies, and lifestyle upgrades—earlier in life.
Long-term care becomes a more prominent concern. Without adult children to lean on in older age, many childfree individuals place a higher emphasis on planning for aging well and with dignity.
Insurance Planning: Rethinking the Big Three
Let’s take a closer look at how insurance—especially life, disability, and long-term care—requires a fresh lens for childfree individuals.
1. Life Insurance: Often Optional, Not Essential
Life insurance is typically used to protect dependents from financial hardship in the event of premature death. But childfree individuals often don’t have anyone financially relying on them. That means term policies to cover lost income may be unnecessary.
Instead, life insurance for the childfree may serve different purposes:
To cover final expenses
To create liquidity for estate taxes
To fund charitable bequests
In many cases, a robust emergency fund and a well-structured estate plan can take the place of life insurance entirely.
2. Disability Insurance: More Critical Than You Think
While life insurance might be optional, disability insurance is often more essential for childfree individuals. With no children or spouse to provide backup income, a disabling injury or illness can be financially devastating.
Disability insurance helps maintain independence and avoids the need to rely on siblings, parents, or friends for financial support. For childfree clients—especially those without a strong extended family safety net—this coverage is often a top priority.
3. Long-Term Care: A Planning Priority, Not an Afterthought
Perhaps more than any other group, childfree individuals are acutely aware of their long-term care risks. They’re not expecting adult children to care for them or manage their finances in old age.
That’s why long-term care insurance, aging-in-place strategies, and building a care network become central to their financial plan. Planners should be proactive in helping childfree clients:
Evaluate LTC insurance options early
Consider continuing care retirement communities (CCRCs)
Identify friends or professionals for durable power of attorney roles
Set aside funds for paid caregiving support
Without children to step in, proactive planning is the key to maintaining autonomy later in life.
Retirement and Lifestyle: Freedom with a Different Finish Line
Childfree clients often have different lifestyle goals, especially around retirement. They may:
Retire earlier or pursue semi-retirement
Prioritize travel or passion projects
Maintain urban lifestyles with higher living costs
Continue working longer for fulfillment, not necessity
Rather than focusing on legacy or minimizing taxes for heirs, childfree individuals often emphasize maximizing experiences and ensuring they don’t run out of money. A good financial planner will help align their spending, investment, and withdrawal strategy accordingly.
Estate Planning: Who Will Take Care of Me?
One of the most overlooked aspects of childfree financial planning is the selection of fiduciaries—the people who will step in to make decisions in case of incapacity or death.
Without adult children, childfree individuals must be more intentional in choosing:
Executors
Health care proxies
Durable powers of attorney
These roles might be filled by siblings, friends, or professionals—but they shouldn’t be left to chance. Building an estate plan that protects the client from vulnerability is not just a legal task—it’s a crucial part of comprehensive financial planning.
Final Thoughts: Leading with Empathy and Expertise
The childfree population is not a fringe group—it’s a growing, diverse, and underserved community. As a financial planner, understanding their unique needs isn’t about offering a new product—it’s about shifting the conversation.
Don’t ask “Are you sure you won’t have kids?”
Don’t assume they want to leave a financial legacy
Don’t use fear-based messaging about “who will take care of you?”
Instead, meet childfree clients where they are: intentional, independent, and committed to crafting a life of meaning on their own terms.
By offering a dedicated planning experience that respects their values and anticipates their needs, you’re not just offering financial guidance—you’re offering peace of mind.
Looking for a financial planner who understands life without kids?
At In The Money Retirement Planning, we specialize in helping small business owners in CT
plan for a fulfilling life—on their own terms. Reach out today to schedule your complimentary consultation.
About The Author
Marc Lowe is the Founder & President of In The Money Retirement Planning. He is a Certified Financial Planner and member of NAPFA National Association of Personal Financial Advisors, XY Planning Network & Fee-Only Network. He works with retirees and those approaching retirement. He has over a decade of experience helping these folks grow their net worth, organize their finances and build better lives for themselves and their families.
The information presented in this Presentation is the opinion of the author and does not reflect the views of any other person or entity unless specified. The information provided is believed to be reliable and obtained from reliable sources, but no liability is accepted for inaccuracies. The information provided is for informational purposes and should not be construed as advice. Advisory services offered through In The Money Retirement, an investment adviser registered with the state of Connecticut. The information linked to on third-party sites is being provided strictly as a courtesy and convenience. When you link to any of the web sites provided here, you are leaving this website. We make no representation as to the completeness or accuracy of information provided at these websites. When you access these websites, you are leaving our website and assume any and all responsibility and risk for use of the web sites you are visiting.The tax and estate planning information offered by the advisor is general in nature. It is provided for informational purposes only and should not be construed as legal or tax advice. Always consult an attorney or tax professional regarding your specific legal or tax situation.
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