Financial Planning for Family Events

Financial planning is never more important than when things change. Family events like marriage, divorce, and death of a spouse or family member can cause a considerable upheaval in your life and in your finances. We’re here to support you and your wealth-building goals as you go through all of the stages of life. This includes revisiting your retirement plans, insurance policies, and every other aspect of your finances when your life circumstances change. 

As financial advisors, we use our extensive knowledge and experience to help you make the best financial decisions for your current situation. But we don’t stop there.  We use your unique life picture to create your financial plan and, discussing your goals for the future, we tailor your plan to allow for new circumstances that may arise over time. Your financial goals may also change throughout your life, which is why it’s important to adjust your financial plan as needed.

At any time in your life, divorce or the death of your spouse may upend your financial plan. The loss of your partner will mean a shift in your income and the need for a reassessment of  your lifestyle and expenses. It can be more difficult to save for retirement. We will help you create a new financial plan taking these circumstances into account and reroute your financial path to help you stay on track.

Major life events aren’t always negative events, but they still affect your finances. It’s important to think about the impact on your current and future financial situation, because you don’t want to miss out on saving or investing for the future.

Here is a list of life events that should trigger a financial planning assessment:

• Getting married or remarried
• Becoming a parent (first or subsequent child)
• Saving for college
• Saving for or starting retirement
• Divorce
• Death or disability of a spouse or child

While no one can predict the future, we always encourage our clients to prepare for eventualities. And we’re here to help you be more prepared. 

Unfortunately, most people experience a financial setback with a divorce. It’s time to reevaluate your financial position, including your current retirement savings plans and other investment goals. If you’re caring for dependents, you should also have a financial and legal plan in place in case something happens to you or your ability to earn an income to ensure that your family is protected. 

Since money is one reason couples fight, it's really important to tackle your financial planning decisions together. We're happy to meet with you and your spouse and help you create a financial plan for your new family. It would be prudent to invest the money you now save in income taxes toward joint retirement and other investment goals. You should also consider protecting both partners with life and disability insurance.

The best way to prepare for a death in the family is to purchase life insurance for the wage earners of your household. It’s also a good idea to establish an estate plan: make a will, and make sure more than one person knows where to find your important documents, passwords, and account information. 

You never know what life is going to throw at you, but we’re here to help you revise your financial plan when things change. No matter what life event you’re going through, it’s important to prioritize your financial future and create a plan that allows you to make the best of your situation. Reach out today to schedule a free consultation.