Navigating Financial Transitions: A Checklist for Women After the Loss of a Spouse

 

Introduction:

Losing a spouse is a profound and challenging experience, and amidst the emotional upheaval, it’s crucial to address the financial aspects that come with such a significant life event. As a Senior Wealth Advisor at CIBC Private Wealth, I understand the importance of empowering women to navigate these financial transitions. Here’s a comprehensive checklist to guide you through the essential steps during this difficult time.

 

Gather Important Documents:

Collect key documents such as wills, life insurance policies, bank statements, investment accounts, property deeds, and any prenuptial or postnuptial agreements.

 

Notify Relevant Parties:

Contact financial institutions, insurers, and legal professionals to inform them of your spouse’s passing. Update account information and beneficiary designations accordingly.

 

 

Consult with Professionals:

Seek guidance from a financial advisor, tax professional, and estate lawyer. They can provide valuable insights tailored to your specific situation and assist with estate planning and tax implications.

 

 

Assess Immediate Financial Needs:

Evaluate your short-term financial requirements, including funeral expenses and ongoing living costs. Access emergency funds if necessary and consider your cash flow needs.

 

 

Review and Update Beneficiary Designations:

Ensure beneficiary designations on life insurance policies, retirement accounts, and other assets reflect your current preferences. This is crucial for a smooth transfer of assets.

 

Understand Estate Settlement Process:

Familiarize yourself with the probate process and the distribution of assets. Work closely with your legal advisor to navigate any complexities that may arise.

 

 

Review and Adjust Your Budget:

Reassess your financial goals and adjust your budget to accommodate changes in income, expenses, and future financial objectives.

 

 

Evaluate Insurance Coverage:

Review your existing insurance coverage, including health, life, and property insurance. Make adjustments based on your new circumstances.

 

Explore CPP and OAS Survivor Benefits:

• CPP Survivor’s Pension: Check eligibility for the CPP Survivor’s Pension, a monthly benefit available to surviving spouses or common-law partners.
• CPP Death Benefit: Understand the CPP Death Benefit, a lump-sum payment to the estate of the deceased contributor.
• CPP Children’s Benefits: If there are dependent children, explore the CPP Children’s Benefit for financial support.
• OAS Survivor’s Allowance: Investigate the OAS Survivor’s Allowance for low-income widowed spouses or common-law partners aged 60 to 64.
• OAS Guaranteed Income Supplement (GIS): If eligible, consider GIS, an income-tested benefit for OAS pensioners with low income.

 

 

Update Your Will and Estate Plan:

Work with your legal advisor to update your will and estate plan to reflect your current wishes and safeguard the financial future of your family.

 

Conclusion:

Facing the loss of a spouse is undoubtedly challenging, but proactively addressing financial matters, including exploring CPP and OAS benefits, can bring a sense of stability during this trying time. Remember that seeking professional advice and taking deliberate steps will empower you to make informed decisions and navigate the path ahead with confidence.  Please contact my team if you would like a complimentary consultation.

 

Jennifer Jackson, Senior Wealth Advisor, The Jackson Group

519-640-7643

Jennifer.Jackson@cibc.ca