Singles face higher living costs than couples

Being single can come with extra costs, often referred to as the "single tax." Research shows that the financial impact varies throughout a person's life. For people aged 25 to 49, single individuals spend 14% more than those who are coupled. The largest expenses are in housing, health, and communication. Economist Shamubeel Eaqub highlights that singles incur 53% more in housing costs, 40% more in health, and 41% more in communication compared to couples. Living alone makes it challenging to manage rent or mortgage payments on one income. Financial expert Shirley McCombe noted that finding affordable housing for single people can be tough. Data from Stats NZ indicates that a single person spends about $807.90 a week, while couples spend $1,611.30 together. Although the per-person spending is similar, the types of costs differ. Couples share housing expenses, making it cheaper per person. A single household averages $263 a week on housing, whereas couples spend about $184 each. Spending patterns change with age. From ages 50 to 65, single people spend 11% less overall, but still face high housing costs. Single parents have additional financial concerns, often qualifying for government support that can affect their income tax rates. In the years leading up to retirement, single people still spend more on housing, making financial stability harder to achieve. The Retirement Commission warns that single individuals often have less insurance and savings, exposing them to greater financial risks. When it comes to pensions, singles receive around $520 a week compared to $800 for couples. Many retired singles are renting rather than owning homes. Overall discretionary spending shows singles group at $8,523 a year compared to $24,461 for couples. Experts suggest that the cost difference depends on personal circumstances. While there may be ways to save money when living with a partner, expenses like heating can remain constant regardless of the number of people in a household. The financial implications of being single aren't always straightforward.