Financial planning for retirement can be unpredictable. Despite guidelines and rules, it’s hard to know how long retirement will last. Derek Jones advises planning for worst-case scenarios. A case study involving Don and Rhonda shows the importance of planning for the unexpected in retirement. Couples need to be prepared for loss of income if one spouse passes away before the other.

Don and Rhonda have a solid financial setup for retirement, with $150,000 income annually from various sources. If Don were to pass away, Rhonda would lose his pension but could tap into their retirement savings. Don’s whole life insurance policy would also provide support. Planning with a financial advisor is crucial for a secure retirement.

Preparing for the death of a spouse is essential for financial stability. It’s important to update wills, beneficiary designations, and have open conversations with your spouse. Consulting with professionals like CPAs and tax attorneys can help navigate tax implications. Planning final wishes in advance can ease the burden on the surviving spouse during a difficult time.

Having open conversations and making decisions ahead of time can alleviate stress for the surviving spouse. Planning for various scenarios and consulting with experts can ensure financial stability and peace of mind. It’s crucial to plan ahead and make informed decisions to protect your loved ones during challenging times.

Read more at Yahoo Finance: I’m 66 and retired. My wife will lose my $60K pension if I pass away first. How do we plan ahead for this possibility?