Financial planning for women after a divorce is not that much different from planning for married couples.
While several elements are the same, the differences present some good news and some bad news.
The good news is that you can make plans and decisions now based solely on your needs and goals. There won’t be any miscommunication or conflicting ideas.
The bad news is that it’s all in your hands. But, you’re not alone.
One thing you might want to consider is long-term care insurance, which will pay for your care if you become ill or disabled.
Long-term care is especially important for women because you will, on average, live longer than most men.
Also, women typically require longer, more expensive care during those additional years.
These additional years might make retirement planning more important. A longer retirement means you’ll have to stretch your retirement budget out over more years.
It would be a good idea to review where you currently are with your retirement goals and what changes you might need to make to better work toward achieving them.
Since your divorce, have you updated the beneficiaries on your life insurance and retirement accounts?
Is your ex-husband still your beneficiary?
It’s a good idea to go ahead and make those changes now.
You’ll want to make sure your intended heirs are properly designated … just in case.
Finally, at some point it would be a good idea to know how a future marriage could affect your Social Security benefits and other retirement plans.
Now might be a good time to speak with a financial planner and ask questions about your particular situation.
Allen Freeman, CFP provides financial planning to retirees and widows. www.allenfreemanfinancialplanner.com
