economy
March 14, 2026
Older women set to inherit most of $54 trillion in ‘great wealth transfer’ to widowed spouses
Because females have longer life expectancies, most of the spousal transfer of assets due to death is expected to go to women. Advisors say they should prepare.
TL;DR
- Women are expected to receive 95% of the $54 trillion designated for widowed spouses during the great wealth transfer.
- This transfer, estimated between 2024 and 2048, involves $124 trillion being passed on, primarily by baby boomers and older generations.
- Financial advisors recommend that couples, especially older ones where husbands traditionally managed finances, ensure wives are familiar with financial matters before a spouse's death.
- Immediate priorities after a spouse's death include ensuring access to cash, notifying institutions, paying bills, and claiming benefits.
- Cash flow can decrease significantly, as the surviving spouse generally receives the larger of two Social Security benefits, with the smaller one ceasing.
- Pension income may also change, potentially offering a lower survivor's benefit or a lump-sum payout.
- Surviving spouses typically spend less, but not half as much, as when they were a couple.
- Tax filing status changes from married to single can result in less favorable tax brackets, a smaller standard deduction, and lower income thresholds for tax breaks.
- The standard deduction for a single filer is half that of a married couple filing jointly.
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