Losing your partner may be one of the hardest things you ever go through. Whether through death or divorce, the end of a relationship or breakdown of a family is a major crossroad in anyone's life.
The emotional impact can seem overwhelming. But the financial and lifestyle changes can be just as difficult.
There are practical things you can do to make this time a bit easier. You may need to make decisions about assets you used to own jointly. You may have to adjust to living on a smaller income for a while. If your partner was the one who took care of the money, you will need to find out how things were organised and see if you want to make changes.
Take care of yourself at this difficult time. You can find support for dealing with your emotions. And help is available as you sort out your money in your new situation.
 | The bottom line - It's easier than you think to take control of your money when your circumstances change.
- It's OK to ask for advice and support at this difficult time. There are free financial information and counselling services that can help you get your affairs in order and plan your future.
|
When a relationship ends
While your emotions can be overwhelming there are a number of things you can do to ensure that your finances are in order. There are many practical things you may need to think about:
- adjusting to the change in income
- deciding where you will live
- having a car
- education for your children
- managing your debts
- insurance.
The first priority should be adjusting to the change in your income. See Budgeting to help you sort out your income and expenditure. You may be entitled to some government assistance. And you may find it helpful to get some independent financial advice.
Separating couples
If you and your partner are separating, you will need to decide how to divide your property, money and belongings. Find out more about your legal rights and responsibilities. Free advice may be available and you may be eligible for legal aid. If you have children, you will need to agree to arrangements for their care and support. You can find out more from the Child Support Agency. See More information.
The death of a loved one
Although you might be overwhelmed by your grief, there are a number of practical things you will need to do.
The first thing to do is look for all financial records, including:
- the will
- banking records
- credit and store cards
- utilities bills (electricity, gas, water)
- taxation records
- insurance policies (home, contents, car, life, health)
- superannuation
- investments.
The funeral
Funeral costs can vary enormously. It is important to know what you are getting and how much it will cost. A funeral director can arrange the funeral service for you, including newspaper notices and flowers.
Work out a budget for how much you want to spend, obtain a written quote and don't be persuaded to spend more than you can afford. Also check to see if the deceased has left instructions on the funeral in their will.
See More information for how to contact a funeral director in your area.
Some people may belong to organisations that contribute financial and emotional support on the death of a member. When calling to advise about the deceased, check to see what support is available.
Insurance policies
Some private health insurance, sickness and accident insurance and life insurance policies may pay for some of the funeral costs or other payments. If the deceased has any of these types of insurances, phone the insurer and ask if any benefit is payable. You will also be able to sort out closing the insurance as well as any other benefits that are payable.
Funeral bonds and prepaid plans
If you think there was a prepaid funeral or funeral bonds but cannot find the relevant papers, they may have been left with a solicitor, the Public Trustee, next of kin, a trusted friend or the executor of the will. You can also phone the local funeral directors. They usually have their own lists you can check.
The will
A person's will is a legal document that sets out their wishes for how their money and assets are to be divided up after their death. It can also include special funeral arrangements, prepaid cemetery plots, organ donation and appointing an executor.
The executor of the will is responsible for distributing the person's assets to the people named in the will, known as beneficiaries. This happens after any debts are paid and probate granted. See Protecting your money for information on wills.
Contact the offices of the law firm that has the deceased's will and they will advise you of the process and costs of administering the will.
If there is no will, the deceased's estate will be distributed by the Public Trustee in your state or territory. See More information.
More information
You can find out more about decisions to make if you lose a partner. See More information.