Navigating Big Life Transitions: Adapting Your Financial Legacy Plan

Lauren Smith |

For many women, recent events such as divorce or the loss of a spouse have led to profound life changes. In the face of these transitions, it is imperative to revisit and adapt your financial legacy plan. Below are a few ways in which major life events can impact your financial legacy planning as well as strategies you may want to consider to adjust your financial approach accordingly.

What Is A Financial Legacy Plan?
A financial legacy refers to the assets, wealth and financial impact that an individual leaves behind for their heirs, beneficiaries or society after their passing. It encompasses the monetary and tangible assets, as well as the financial values and principles that shape how wealth is managed and distributed. Beyond thinking about it as inheritance for your family, it can also include a philanthropy plan, business succession plan or educational endowments.

Understanding the Impact of Life Events on Financial Legacy Planning
Life events such as divorce, the passing of a spouse or significant career changes can have far-reaching effects on your financial legacy. The first crucial step is acknowledging and understanding how these events shape the trajectory of your financial plans. By recognizing the impact, you empower yourself to proactively navigate the necessary adjustments.

Adjusting Financial Strategies During Divorce, Widowhood, or Career Changes

  • Divorce: The dissolution of a marriage demands a reevaluation of financial goals. Assess the division of assets, understand the implications of alimony and child support and ensure the stability of your financial foundation amid the changes.
  • Widowhood: Coping with the loss of a spouse entails emotional and financial adjustments. Take the time to comprehend and manage inherited assets, update beneficiaries and consider modifications to your retirement and estate plans in alignment with your current circumstances.
  • Career Changes: Whether by choice or necessity, a shift in your career can significantly impact your financial situation. Evaluate how this change aligns with your long-term goals, and be prepared to adjust your budget, savings and investment strategies accordingly.

Remaining Flexible and Resilient in the Face of Unexpected Challenges
Flexibility is the cornerstone of navigating life's unexpected challenges – even in the financial world. Understand that your financial legacy plan is not a static document but a dynamic roadmap that can be adjusted as needed. During times of transition, maintaining resilience is paramount. Foster a mindset that allows for adaptation to new circumstances while staying true to your overarching financial goals

Seeking professional guidance during these transitions can be invaluable. A Financial Advisor or Certified Financial Planner (CFP) can provide you with personalized advice, helping you navigate the complexities of financial planning during life-changing events.

As we navigate these life transitions together, remember that your financial legacy encompasses more than just wealth—it embodies the values, wisdom and security you pass on to future generations. By adapting your financial strategies with grace and resilience, you not only secure your own future but also create a lasting legacy for those who will follow in your footsteps.


Please Note: Any opinions are those of Lauren Smith and not necessarily those of Raymond James. The information contained in this blog does not purport to be a complete description of the securities, markets, or developments referred to in this material. Expressions of opinion are as of this date and are subject to change without notice. Every investor's situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation. Certified Financial Planner Board of Standards Inc. owns the certification marks CFP® and CERTIFIED FINANCIAL PLANNER™ in the U.S., which it awards to individuals who successfully complete CFP Board's initial and ongoing certification requirements.