Whether you are starting over at 35 or 65, running a newly single household can have a unique set of challenges. If your partner managed all the finances before it could also mean a painful learning curve ahead. It will involve more responsibilities than ever before including tasks completely new to you. The mortgage, groceries, and all the other bills haven’t varied much, but now you may have a lot less money to pay them. If you are also caring for children and/or elderly parents, juggling your time and energy can feel like an Olympic feat.
Make a fresh start by having a frank and open discussion with a Financial Advisor about your life goals, personal values, investment goals, and financial objectives in this new phase of your life. You can then confidently develop an action plan that includes key priorities.
Net worth. A clear picture of what you now own, and owe, so you can concentrate on how to grow from here.
Cash Flow. How your money will be allocated to achieve your goals and manage day to day.
You may need to focus initially on the most basic financial tasks – like paying the bills (e.g., mortgage and other debt) and everyday expenses for yourself and your dependants.
Financial Needs. Long term plans like retirement, education, estate planning, and insurance protection. Investments, Retirement Savings, Tax Free Savings Accounts, Education Savings, and even emergency savings need to be designed to suit your new situation. Once your plan is implemented, your Financial Advisor should work with reviewing and revising your financial plan so it evolves with you..
Successfully managing a household reliant on a single person involves recognizing new priorities. If you suffer a serious injury or illness, how will you take care of yourself or those depending on you? Are you planning and saving for your future as well as those you care for?
Your Financial Advisor can discuss with you how you can protect your family, and ensure any interruptions in income are covered. She/he may also refer you to other qualified professionals to ensure that you and your dependants are protected with properly drafted wills, and powers of attorney.
Being Suddenly Single can feel overwhelming in every aspect of your life. A trusted Financial Advisor can help you with many critical financial details so you can focus on your new life.