Spouses and children are central to caregiving and social support in later life. Yet, changing family relationships, and the rising trend of kinlessness – defined as lacking a partner and living children – can impact health in later life. However, how the absence of family ties relates to loneliness among older adults in varying care settings remains unclear. This study uses two national samples of older Australians (aged 65+): i) four waves of the Household Income and Labour Dynamics in Australia (HILDA) (2019-2022, N = 11,074 person-wave observations) comprising community-dwelling individuals, and ii) the Australian Survey on Social Isolation and Loneliness in Empowering Care in Later Life (AUSSIE) (2023–2024, N = 479), capturing people receiving long-term care support (in a care facility or in their homes). Family ties were categorized as: (1) having partner and children (reference), (2) partner only, (3) child(ren) only, or (4) kinless. Loneliness was measured using logged scores (HILDA) and the UCLA scale (≥ 6 as severe). Fixed effects models revealed that transitions to limited family ties increased loneliness among community-dwelling adults, with partner only status showing the strongest association. Logistic regressions showed that kinless and child(ren)-only status were associated with heightened likelihood of severe loneliness among long-term care recipients. Care setting did not moderate these associations; formal care does not buffer loneliness from limited family ties. Limited family ties consistently increase loneliness risk across care contexts, though patterns vary by setting. Results underscore the need for interventions addressing loneliness with limited family ties across care settings.