Hi,
After the divorce is final and the court has decided financial responsibilities, it's time to take a financial inventory. Since all situations are different, this is a list of possible suggestions which may be of use:
1) Living situation: Should downsizing be a consideration? Depending upon the circumstances, some people find it comfortable and financial rewarding to get a room mate instead of selling their home.
2) Transportation: Can we comfortably maintain our present vehicle, or do we need to get a less expensive one?
3) Outstanding credit cards: Look at all credit cards and determine balances, and monthly payments. It is a good idea to reassess whether or not all cards are needed and if it is a good idea to eliminate some of them.
4) Check all incoming bills to make sure the name of the ex-spouse is dropped from the statements.
5) Check beneficiaries listed on policies and make changes where deemed applicable.
Tomorrow I'm going to write about a budget based upon current income and expenses.
Until then,
Alan
Showing posts with label downsizing. Show all posts
Showing posts with label downsizing. Show all posts
Wednesday, April 18, 2007
Thursday, April 12, 2007
Long Term Financial Planning After The Death Of A Spouse
Hi,
Now that we've gathered all the information about assets and liabilities, we need to create a long term financial plan. As each person's situation is different, the following are various suggestions which may apply to particular scenarios:
1)The first issue we need to look at is the feasibility of staying at our present address. There are a few reasons to move after a death: financial, practical, and emotional. If any or all three of these reasons apply to someone, that person does not need to rush to sell an home. It is wise to go about selling an house using regular real estates services. There is no need for a "fire sale".
2)If we rent our residence, it may be necessary to downsize to a smaller place. Once again, there is no need to rush. It is important to make sure that we look carefully at what's available and find something well suited to our new living situation.
3)Name Change: In some instances, surviving spouses find themselves in a situation in which their name is not included in the household credit history. It is important to rectify that situation by contacting entities and making necessary changes.
4) Cancel memberships and subscriptions belonging to the deceased.
5) If there an unneeded vehicle, solicit the help of a trusted person to sell it. Notify the insurance company immediately after the sale.
6) Sometimes financial planning involves major life changes. If someone needs job training, make an appointment with a career counselor at an educational institution. This person will help to discern aptitudes, likes and dislikes, so that future employment brings other intangible satisfactions rather than simply income.
Tomorrow, I am going to talk about creating a budget as a surviving spouse.
Until then,
Alan
Now that we've gathered all the information about assets and liabilities, we need to create a long term financial plan. As each person's situation is different, the following are various suggestions which may apply to particular scenarios:
1)The first issue we need to look at is the feasibility of staying at our present address. There are a few reasons to move after a death: financial, practical, and emotional. If any or all three of these reasons apply to someone, that person does not need to rush to sell an home. It is wise to go about selling an house using regular real estates services. There is no need for a "fire sale".
2)If we rent our residence, it may be necessary to downsize to a smaller place. Once again, there is no need to rush. It is important to make sure that we look carefully at what's available and find something well suited to our new living situation.
3)Name Change: In some instances, surviving spouses find themselves in a situation in which their name is not included in the household credit history. It is important to rectify that situation by contacting entities and making necessary changes.
4) Cancel memberships and subscriptions belonging to the deceased.
5) If there an unneeded vehicle, solicit the help of a trusted person to sell it. Notify the insurance company immediately after the sale.
6) Sometimes financial planning involves major life changes. If someone needs job training, make an appointment with a career counselor at an educational institution. This person will help to discern aptitudes, likes and dislikes, so that future employment brings other intangible satisfactions rather than simply income.
Tomorrow, I am going to talk about creating a budget as a surviving spouse.
Until then,
Alan
Subscribe to:
Posts (Atom)
