By Julia K. Pham, CFP®, AIF®, CDFA®, Wealth Advisor featured in Kiplinger
Some financial decisions need to be made sooner rather than later. In honor of International Widows’ Day, here’s what you need to know about gathering documents and contacting government agencies and financial institutions.
Losing a spouse is one of life’s most profound heartbreaks. For many widows, it means stepping into a financial role they may not have held before.
While grief takes center stage, there are certain financial decisions that require attention, some sooner than others.
Although not exhaustive, this guide is designed to help you navigate those steps one at a time — with clarity and care.
Don’t rush, but do get organized
Give yourself time to grieve but also begin gathering important documents and contracts. For many government agencies and financial entities, you’ll need your spouse’s Social Security number, a copy of the death certificate and a document that confirms your appointment from the probate court if you are an executor of the estate.
Compile a master list of all financial accounts, including bank and investment accounts, retirement plans and pensions, insurance policies, credit cards and loans.
I suggest planning to request at least 10 copies of the death certificate (which you can typically obtain through the funeral home).
Contact the necessary government agencies
The funeral home you work with may have already notified some of the government agencies on your behalf, so it’s wise to coordinate to avoid duplicating your efforts.
The Social Security Administration (SSA) should be at the top of your list and can be reached by calling 1-800-772-1213 or by contacting your local office.
If your spouse was receiving benefits, any payments made for the month of death and any months after their passing require repayment, which can sometimes be complicated. Be sure to inquire about surviving spouse or dependent benefits.
If your loved one received Medicare, the SSA will inform the program of the death, and if they were enrolled in Medicare prescription drug coverage (Part D), a Medicare Advantage plan or had a Medigap policy, contact these plans at the phone numbers provided on each plan membership card to cancel the insurance.
Also, if your spouse had a driver’s license, remember to cancel it to remove their name from the records of the Department of Motor Vehicles, which can help prevent identity theft.
Don’t forget the financial companies
Make sure to take the death certificate to each bank to change ownership of joint bank accounts.
For credit cards, call the customer service phone number on the credit card, monthly statement or issuer’s website and let the agent know that you would like to close the accounts. They will also ask for a copy of the death certificate to accomplish this.
To minimize the chance of identity theft, provide copies of the death certificate to Equifax, Experian and TransUnion — the three credit bureaus — so that the account is flagged.
Remember to check your spouse’s credit history four to six weeks later to ensure no fraudulent accounts have been opened.
Finally, if your loved one had life insurance, provide the policy numbers and death certificate and file the appropriate claim forms with the insurance carrier.
