Protect your loved ones in the event of death

This article is the seventh of a series to help understand and improve financial planning.

The passing of a loved one is never easy. In addition to the grieving, the family needs to plan the funeral, the estate settlement and often revise their usual lifestyle to reflect their new financial situation.

Unfortunately, the stress linked to finances often accompanies the loss of a loved one and hinders families from fully and peacefully mourning, an essential process.

Would you like to avoid this troubling concern? Certain steps need to be taken. For example, a proper financial plan will enable you and your loved ones to entitle them to benefits in order to compensate for revenue loss in the case of death. In addition, drafting and regular updating of legal documents are necessary in order to reflect your evolving last wishes.

Have you thought about your family situation after your passing?

Here are a few questions you need to examine in order to validate your estate planning, ensure to provide for your loved ones and plan for a lasting legacy:

• What sum of money will be available in the case of your passing? Will it be enough to provide for funeral costs and taxes, or will family and friends be stuck with the bill?

• Is your life insurance sufficient to maintain the cost of living for your dependants?

• If you are an incorporated business owner, have you taken all the necessary measures for the continuance of your enterprise?

It is still time to plan

If you have answered no to one or more of these questions, take action! The following steps will help you plan for your situation in the case of death: 

• Consult IQPF’ Tips and Situation : Situation at death which includes useful information concerning last wills and testaments, estate calculations and business succession; 

• Consult Ten Steps to Estate Planning from Éducaloi;

• Plan to consult with a professional to help assess and foresee your needs in protecting your loved ones in the eventuality of your passing.

Note: The questions are taken from the guide «Check your financial health, consult a financial planner » from l’Institut québécois de planification financière.