The Widow and the Ostrich

THE WIDOW AND THE OSTRICH

~Ann Whitlock

Statistics indicate that I will likely become a widow someday. More than 75% of women are eventually widowed, so the odds are quite high. Wives usually live 8-10 years longer than their husband. Ideally, the high likelihood of becoming a widow should prompt some advance planning. Of course each of us should have a will or trust, but a few more essentials are needed to help us carry on.

Like an ostrich, I would rather hide my head in the sand than think about my husband dying before I do. This is something I really don’t want to think about, much less plan for. Dealing with the emotional loss of losing my husband will be tough enough, but times of turmoil are typically not times of clear thinking. Someone needs to be in charge of all the finances and the financial decision-making. Widows who have never written a check can either take on the financial reins or rely on family or friends.

Adding a new task is not necessarily a bad thing. There is great peace of mind on getting a handle on your money. The only skills required are adding and subtracting, and a calculator will take care of that. Naturally, the first task will be listing the monthly and yearly expenses and paying the bills promptly.

Organizing a file, (a notebook, file folder or even a shoe box) will help you stay on top many situations. Essentials that should be included in the file:

1. Names, addresses and phone numbers of your legal professionals, i.e. attorney, accountant, financial planner.

2. Location of wills, trusts, durable powers of attorney, living wills, etc.

3. Financial assets and obligations:
A. Assets include savings accounts, investment accounts, CD’s, life insurance policies, pensions and retirement plans. List the account numbers, phone numbers and addresses for each.

B. Other assets include real property including houses, cars, boats, etc. Note the location of deeds and other ownership documents.

C. Obligations include mortgages, credit card debts, loans, etc. Again, list the account numbers, phone numbers and addresses.
Compiling this file won’t be difficult. It will probably be more difficult convincing yourself that it should be done. When it is completed, let a son, daughter or other loved one know where it is. Your file will then be a salvation for anyone who needs to carry on for you. That person will thank you greatly and may go home and create a file of his own!
Forms may help to sort out or organize such as Basic Budgeting Worksheet or Spending Plan, a Net Worth Worksheet, a Property Inventory Worksheet and are available by emailing irwhitty@cfl.rr.com or 352.536.9783

A common recommendation for widows about many issues is: don’t make any major moves right away. Parking your investment money in CD’s is a safe solution until you are more comfortable making decisions. Don’t allow yourself to be pressured to make any long-term investment until you have sorted out your entire financial situation.

Take your time obtaining financial advice and get information from lots of sources. The library has lots of books and magazines on finances. Ask friends for references and interview several financial planners. Interviewing fee-based Certified Financial Planner professionals is usually recommended. After checking references, review how comfortable you are with the planner and how well he/she takes your needs and tolerances into consideration. The right fit for you may not be your friend’s, relative’s, or husband’s pick. This choice is particularly important since it may be a relationship you have for the rest of your life!

~Ann Whitlock