Question from a follower, “Coping after losing your spouse and getting your finances in order. Paying for medical bills?”
There is no easy solution to how to ease the financial stress that comes with the loss of a spouse. While every situation is different, here are some general guidelines.
- Make a list of accounts. You are responsible for any accounts held jointly (in both your names). These accounts are the priority, as there will be impact on your credit if the bills are not paid. If the account was solely held by your spouse, you won’t be responsible for anything owed on them, as long as you do not live in a community property state. But it is still a good idea to notify the companies of his or her passing.
- Get a copy of legal documentation. An important one is the death certificate (ten copies are helpful.) This can be a hard thing to do emotionally, but this document is necessary in order to be able to handle your deceased spouse’s accounts. You should also have a copy of your marriage certificate, and any will or trust documents.
- Make a list of all bills coming due in the next two months and keep accurate records as you pay them.
- Apply for life insurance and Social Security benefits. Make sure you formally notify the Social Security Administration that your spouse has become deceased, and do not cash any checks sent in the person’s name as this is illegal.
- Get a credit report. There may have been accounts with creditors that you don’t know about. Let the credit bureaus (Equifax, Transunion, Experian) know that your spouse is deceased.
- Contact your financial advisor, CPA, and estate attorney, and begin to settle the estate.
The first year or so after losing a spouse is a chaotic and overwhelming time. When the dust settles, work on a longer term plan. Try to create a financial plan that takes into account your life milestones (buying or selling a house, retiring, etc.). This can help you to manage your expenses and make sure you are saving enough.
Sudden changes can be difficult to manage. If you or someone you care about is in this situation, please reach out to us for guidance. If we can’t help, we can refer you to a trusted and caring contact from our network who will take care of you.
Tim Mayer
