What Is The Singles Tax And How To Beat It
Just under 8 million people in the UK live alone, and the proportion of married people is declining, according to the Office for National Statistics (ONS). But due to the singles tax living alone is more expensive than ever before.
There’s something special about living on your own. You can come and go as you please, on your own schedule and live by your own rules. You don’t have to worry about having your privacy invaded or shutting doors when you’re in the shower. No one will walk past you during an important video work meeting. I lived alone for 3.5-4 years in my previous flat and it was an experience I’m so glad I had. Although I would have struggled if the pandemic had hit then and I’d been forced to spend more time at home.
What is the singles tax?
The ‘singles tax’ is the label used to describe the difference in the cost of living for a single person, compared to the cost of living with a partner or someone else. According to research from the ONS it’s what causes single people to report feeling less financially secure than someone in a couple. And due to spending more on living they have less money leftover at the end of the month.
The research found that single people spend 92% of their disposable income compared to 83% in two-adult households.
Examples of singles tax and how to beat it (as much as possible)
Council tax
Council tax is expensive. And you have to pay it if you’re living in a property regardless of whether you own or are renting. The council tax is worked out depending on the size and value of the property you live in. This is regardless of whether 2 people live there or 8 people. If you’re a singleton then you can apply for single person occupancy and get a slightly lower council tax bill. This will save you 25% each month. But that still makes it more expensive than living with someone.
If your council tax bill is £200 then a two person couple will pay £100 each. But a singleton will pay £150 after discount.
Singles tax on subscriptons and memberships
Couples tend to share memberships and subscriptions like TV streaming services, Spotify Premium and memberships to places like Kew Gardens. But as a singleton it doesn’t mean that you have to miss out. Discounts don’t have to be saved for romantic partners. So split them with friends, family or neighbours to get your savings.
For Netflix you can pay £9.99 to watch on two screens at once, or £13.99 for premium to watch on four screens at once. So you can split this with up to three other people.
If you live at the same address as someone else you can join forces and get a Spotify Premium account for up to six users. And you can share your Prime membership with another person and save spending £79 each a year!
And memberships to places like Kew Gardens can sometimes be shared with friends instead of a partner. So if somewhere offers a joint membership it’s worth asking.
Car insurance
According to Compare the Market theres evidence that couples and families drive more safely and make fewer claims than single people. So car insurance can be cheaper if you’re in a relationship. If you’re in a relationship and that person is a good driver you can add them to your policy and chances are the rate will go down. But you can do something similar if you’re single as long as someone else will genuinely use the car with you.
You can add a parent, friend or adult child as a named driver on your policy and share using a car to save some money. Also don’t be tempted to just accept the renewal quote that you get, shop around and chances are you’ll find a better deal.
Holidays and travel
Singles tax is rife when it comes to holidays, especially with hotels. The term ‘single person occupancy’ is sometimes an add on if you’re only going away on your own and require an apartment/ hotel room etc on your own. But there are some niche companies such as JustYou who don’t charge supplements. Travelling on your own it is usually better value to go half board or all-inclusive as opposed to self catering.
If you’re travelling in the UK friends can share a Two Together railcard and you don’t have to live at the same address. If you and a friend commute together or go on day trips together it’s worth signing up. Although bare in mind you have to start and end your journeys together to get the discount. But a few day trips over a year can already make the railcard worth it.
Have you ever been subjected to a singles tax?
Pin It
29 responses to “What Is The Singles Tax And How To Beat It”
Leave a Reply
All About Me
Rhian Westbury
Travels and Destinations
Nothing currently planned
I found this interesting I did know about the council tax, food and holidays I did not know about car insurance though
I haven’t as I have always lived with somebody – either my parents or Steve. But my mum now lives alone and has to deal with these.
I didn’t know about the Two Together rail card; I’ve been considering buying one and I know my friend has one, so perhaps this option could work for us.
I need to look into it a bit more for when me and my fiance travel around x
This is a great post. I never thought about singles tax as I moved out after getting married. I think sharing Netflix is popular, I know many do a friends and family one.
We do that with a few others too x
Love the sound of the two person railcard, that’s such a great way to save money and have fun with someone!
This is such a comprehensive post about singles tax which I did not know about as I never lived on my own. There are some great tips here which singles will benefit from
Having spent about 4 years living alone I know a lot of these too well x
I never knew about the railcard, I’ve bought one for years and I know my friend gets one too
Wow, I had no idea about most of these. so much to think about and some great tips too, thank you.
This is all so true, my mum and dad separated a few years ago now and have been living separately and I know they have both found it harder on their own. It is such a shame their isn’t more in place to help those living alone. I did tell them both about the single occupancy council tax though which they didn’t know about! x
You’re so right the world is not set up for people living alone x
We don’t have anything like a singles tax in the US that I know of. But I do understand not splitting things. I know it’s much harder to cook on a reasonable budget for just one person.
I just think the world isn’t set up for single people to say buy properly in the same way it’s set up for couples x
This is so interesting. To be honest I never really thought about it much!
My brother lives alone and finds that even with the slight discount the council tax is a very big bill.
Yeah it’s still quite pricey when you’re on your own x
Fortunately, we don’t have this in my country. I think a lot of people would complain if we had this kind of tax.
I do think it’s more expensive to be single than in a couple everywhere though even if it’s not as obvious x
I’ve never heard of council tax! I will need to know more my taxes! This is usually handeled by my accountant!
Spiting the bills and rent with my partner has really added so much money to my bank account – I never thought of it is a single person’s tax, and this is such an informative article!
The word is just designed and geared up towards couples so much more x
There is a tax for single people?? Wow that’s a lot I am glad this isn’t here in the US but single people get taxed differently here.
It’s called singles tax but it’s just that everything is more expensive being single x
That’s a great idea about adding someone to your car insurance to share the amount. Netflix is a really good one to share, my brother pays for it but we log in from our house and our parents also login from their house. I pay for disney and they do the same
It makes such a difference sharing things like that as the costs each month all add up x
That’s interesting that some things are cheaper if you are in a relationship. I didn’t realize that was true for insurance!
Most of the time you don’t realise until you start living with someone/ become part of a couple x