If your spouse dies: Financial changes.

20 Feb 2024 · 1 min

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1:01

In this concise advisory video, Jerry Taylor outlines five essential financial steps for individuals coping with the death of a spouse. After allowing time for grief, viewers are urged to revisit the video and systematically address: (1) how the loss alters who manages household finances, especially if the deceased was the primary financial manager; (2) the importance of consulting accountants or financial planners rather than navigating alone; (3) reassessing cash flow, including the disappearance of any income the spouse contributed and the reduction of Social Security survivor benefits; (4) determining whether the change in income places the survivor in a different tax bracket; and (5) (implied) reviewing any remaining financial obligations or assets, such as insurance or estate matters. The guidance is practical, encouraging proactive financial planning during a difficult emotional period.

Chapters

If your spouse dies, in addition to everything else in your life that will change, here are 5 things you need to consider from a financial standpoint. Once you've had time to deal with the grief, pull up this video again and think about these issues. First thing would be you need to consider whether your financial responsibility has changed. It's typical in many families for one person to handle the finances. If the spouse that died was the one who handled all the finances, then your situation financially is going to change immensely. If you've never dealt with the finances before, this will likely be overwhelming. Don't hesitate to check with professionals, your accountant, your financial planner. Don't try to go it alone from the outset. The secondary you need to consider is cash flow. Was there money coming in monthly to your spouse that you will no longer be receiving? Remember, if you were both on Social Security, the lower amount will drop off. Whatever the change in your income, there will also be changes in the amount of money you spend every month. And then very importantly, you need to consider whether or not you're going to be in a different tax bracket. Now check with your accountant.