As women continue to outlive men by three to four years on average, but remain behind on their retirement savings plans, long-term financial planning may be imperative for spouses, according to The Wall Street Journal.
If either the husband or wife is dependent on the other to be the financial brain-trust in the relationship, the loss of that person could have traumatic financial repercussions. More than one in three married women allow their husbands to handle the retirement planning and 23 percent say they should pay more attention, according to a study done by ING.
If there is money tied up in annuities the other spouse should know how to retrieve those funds. Annuity owners can also decide on a joint life benefit, which would ensure payouts continue as long as one person remains alive, the WSJ reports.
If the deceased had a life insurance death benefit that money could help the remaining spouse pay for funeral services and day-to-day expenses going forward. People may also have to adjust to living on one Social Security check instead of two, and these finances can help with that adjustment as well.
Both individuals in the relationship should have a clear understanding of their financial picture.