Tips for Financially Preparing for the Loss of a Spouse
November 18, 2021
How do you prepare for the death of a spouse financially? This heavy and difficult question is, unfortunately, a pressing and important reality that all couples should discuss and deal with sooner rather than later. Although preparing for widowhood is never a pleasant thought, the earlier you begin your planning, the fewer financial difficulties and unwelcome surprises you may find yourself facing later on down the road. Whether you’ve already started searching for extensive Life Insurance policies or whether you still need to discuss the details with your spouse, here are some top tips to help you financially prepare for the eventual loss of a spouse.
Have Frank and Open Financial Discussions With Your Spouse
Before you can begin solid financial preparations for the loss of your spouse, you’ll first need to have a series of frank, open and honest discussions about your finances. Talking openly about financial matters helps couples in several ways. For instance, these money conversations could help you and your spouse:
- Be on the same page when it comes to finances
- Avoid unpleasant surprises and foster honesty
- Understand each other’s wishes and financial goals
Start Saving Immediately and Find Appropriate Life Insurance When You Can
If you haven’t already begun saving up for a rainy day, consider opening a new account immediately. Having savings and appropriate insurance in place can make all the difference when a spouse suddenly and unexpectedly passes away. You might find it helpful to:
- Set up multiple types of savings accounts, from regular savings accounts to specialized retirement accounts and more
- Consider investing money to help grow your savings and earn passive income as a financial safety net
- Find the right term or whole life insurance policy that suits your needs as a couple
Keep Your Wills and Other Legal Documents Detailed and Updated
Lastly, make sure that you and your spouse have your legal documents up to date. This process helps to:
- Ensure your spouse’s last wishes are respected
- Avoid getting thrown into financial chaos and confusion upon your spouse’s passing
- Give you legal access to joint property and accounts
- Clarify beneficiaries and other legal matters, such as power of attorney, ahead of time
Although you may not want to think about the eventual loss of your spouse, starting plans and preparations as early as possible could help save you from a financial and even legal headache later on. If you and your spouse have not yet started planning for this possibility, consider using this guide to begin immediately. Have frank financial discussions and be open with your spouse, find appropriate Life Insurance coverage, start filling up your savings accounts and keep your legal documents updated to be as financially ready as possible in the event your spouse should pass away.
About 1891 Financial Life
At 1891 Financial Life we don’t just sell policies, we offer possibilities. We pride ourselves on giving back to the communities that we serve by providing quality and comprehensive insurance solutions. We are a not-for-profit life insurance Society, which means the sales from these financial service products help fund member benefits along with social, educational, and volunteer programs designed to respond to community needs.
Our portfolio is extensive, ranging from various life insurance policies to our MYGA to support your financial needs no matter what stage of life you’re in. For more information, contact us at (855) 804-7424.
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