Linda P. Erickson, CFP, is the President of Erickson Advisors and a Registered Principal offering securities through Cetera Advisor Networks, LLC 336-274-9403 lindae@ericksonadvisors.net
Death can be sudden, or it can be long in coming, perhaps even a relief. However death may come to a family, it brings with it a flood of emotions and a psychic disconnect from the rest of the world. Unfortunately for the widow or widower, the rest of the world continues on as if very little has changed. In this two-part series we will offer some guidance for an easier passage through this difficult time.
Financial concerns intrude right away, and first thoughts are often the most unsettling. “Will I have enough?” “Where is everything?”
Immediately after a death, everyone gathers around. Children, siblings, friends, all gather to offer support and comfort, and they all come with their own ideas about how to do what must be done. Decisions must be made, and in the midst of fear, anxiety and all the rest of the emotions the surviving spouse endures, there is often a sense that she or he is being swept along by an uncontrollable tide of well-meaning decision makers. Many widows express a profound need, often overlooked by the family, to maintain a sense of autonomy, to take on or hold on to the role of decision-maker. So, acknowledge your emotions, accept help to the extent you need it, be firm if you must, and carry on with the business at hand, because financial demands do not wait.
Gather Information
You have likely been named as the Executrix or Executor of your spouse’s estate. Whether big or small, an estate must be accounted for and reported to the State. The duties of an Executor are several and can be summarized as follows:
- preserve the estate assets
- pay any taxes when due
- execute the directives of the will.
Many surviving spouses will seek the help of professionals as they carry out their duties of Executrix. Your attorney and financial planner may be important resources as you walk through the requirements of Probate. Probate is the legal process whereby you report to the Court with a copy of your spouse’s will, make an accounting of the value of all assets referenced in the will, and certify that these assets have been distributed as directed in the will. Larger estates must, of course, file an estate tax return as part of this process.
OK, let’s get specific. You will need to assemble the following documents:
- Will
- Insurance Policies
- Bank Statements
- Stock Certificates
- Investment Account Statements
- IRA and Annuity Statements
- Safe Deposit Box holdings
- Certified copies of the Death Certificate
If fear is the #1 worry that you will not have enough money, then knowing what you have is the first line of defense against this fear. In the next issue we will outline how to determine what you really have (it may be more than you think), how best to preserve your lifestyle income, and maybe even provide a legacy.