Dr. Judith Gerhart, CFP
Certified Divorce Financial Analyst 
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Finances for Surviving Spouses
May 31, 2009
The abrupt changes in the financial picture can be among the most stressful issues for widows and
widowers. For younger spouses, especially those with children, the sudden and long-term loss of income
can be frightening. Others may feel a false sense of confidence from lump-sum payments of insurance or
retirement plans and overspend. In fact, among widows, 25 percent go through their husband’s death
benefit in two months, according to the Illinois Department of Financial & Professional Regulation.
Having a thorough understanding of the household assets and liabilities before the death of a spouse prepares many survivors for going it alone – even if they relied on their spouse to do the actual bill paying and investing. Those who don’t have that knowledge beforehand face the additional stress and confusion of
figuring it out during crisis or, worse yet, getting unpleasant surprises like large credit card debt of which they had been unaware.
The hindsight of knowing you should have paid closer attention provides little comfort. Help may be at hand, however, if you and your spouse had well established relationships with an attorney, accountant, financial advisor or insurance professional. If you can, meet with them together to begin building
the picture of your financial situation. Bring to the meeting any documents you can, including wills, insurance policies and bank or investment statements. If your team is missing a piece, ask the advisors you have used to recommend a professional in that area, or get referrals from friends and family.
Posted by Judith Gerhart on May 31, 2009 | Permalink | Post a comment
Topics: Finance |
