Blended families like yours face a number of unique financial planning challenges. You tend to have additional financial obligations and more complex priorities when it comes to planning for your and your family’s future. Some of the things you need to think about:
- Budgeting and Debt
- Estate Planning
- Saving for College
- Retirement Planning
- Insurance Needs
Budgeting and Debt –
Divorce tends to wreak havoc on people’s finances. And when children are involved, it gets even more complicated since now you may also have to deal with alimony and child support. Combine all that with two adults who may have differing views on money, and you have quite the challenge.
Estate Planning –
One of the first things you need to do after a divorce or remarriage is to update your estate plans. Work with your lawyer to review your information and to see where you need to rethink your original plans. Are there any trusts in your plan? Should there be? How are you funding them?
Saving for College –
You now not only have to think about college for your own children but for your stepchildren, as well as any other children that may come from your new marriage. Which parents are paying for what for which kid? How much more do you need to save?
Retirement Planning –
When you remarried did you update all the beneficiary information on your investment and retirement accounts? Did you have a conversation with your new spouse on how and when they want to retire? Now that you may have stepchildren, does that change your original retirement plans?
Insurance Needs –
If your family got measurably bigger when you remarried, do you still have enough life insurance? If you have term insurance, does the term limit still work for you? Are your stepchildren listed as beneficiaries (remember, they are not presumed heirs by law)?
That is all a lot to think about. Luckily, I can help guide you to where you want to be and make sure your family’s needs are covered. I’ve been helping families of all shapes and sizes figure out the best ways to reach their financial goals and to make sure their loved ones are financially secure. Reach out, let’s talk, and let me see how I can help.
