Be prepared for life’s changes

When you’re retired, some of life’s changes can have a big impact on your finances if you’re not prepared.

According to Statistics Canada, divorce among people 55 and older is on the rise. Assets earmarked for your retirement income may be divided, seriously affecting your retirement lifestyle.

Often only one partner is fully aware of the family finances. While none of us wants to think about these serious life changes, it’s good to talk about what will happen financially when one partner dies or if a marital breakdown takes place.

Discussions about what will happen to your shared home, pension and savings may help these life changes pass more smoothly. Making sure both partners know which banks or insurance companies will need to be involved in the transfer of the couple’s finances is a good step towards being prepared.

You should also ensure your beneficiary information is up to date. While some plans have legislation governing who the beneficiary will be, it’s important for everyone’s peace of mind to regularly review your beneficiary information.