This post may contain affiliate links which may compensate us based on your interaction. Please read the disclosures for more information.
Stephanie R. Wilson Jackson (1/11/1959 – 4/18/2016)
On Monday, April 18, 2016, I was the one that received the fateful call from a nurse saying, “Ms. Jackson, I am so sorry. I regret to inform you that your mother passed away …”
Although she was ill for a long time, that call was completely unexpected and as I frantically ran around trying to get dressed to go to the hospital, it was unreal and unbelievable.
When a loved one passes, it is often an emotional and chaotic time. Unfortunately, it’s also a time when you may be called upon to make a number of weighty financial decisions, like me.
Would you know what to do if you found yourself in that situation? If you’re not certain—or would just like to make sure you’re not overlooking something important—the following suggestions may prove helpful:
Establish your authority
Even if you are the sole surviving family member, you will need to prove that you have legal standing to make financial decisions. Check the will to see if you have been named executor, and/or ask the court to provide a letter certifying your status.
Get multiple copies of the death certificate
While not a financial requirement per se, having 10–20 copies of the death certificate will make so many other steps easier. In many cases, the funeral home will be able to provide them, or you may have to visit the clerk’s office in your local courthouse.
Get in touch with current or former employers
Check to see if your loved one was owed any back pay or bonuses, deferred any income, or had accrued any unused vacation or sick time. Also, find out about any pensions, group life insurance, or health benefits that may have been in force.
Contact insurance companies, agencies, and financial institutions
To help prevent unnecessary complications or fraud, be sure to notify the Social Security Administration and U.S. Postal Service about the deceased’s passing. Also, contact any banks, credit card companies, or utility companies the deceased may have done business with and cancel/transfer accounts as needed.
Submit a life insurance claim
If your loved one was protected by life insurance, request a claim form and submit it along with a copy of the death certificate. Since life insurance proceeds are typically processed outside the probate system, this may be the only money you and any surviving members of your family receive for some time. What’s more, the death benefit is usually free from federal income taxes.
Recovering from the loss of a loved one isn’t easy, especially if you are the one who has to make all the hard financial decisions. Hopefully, taking these steps will reduce some of the stress and help you to move on to the grieving process as quickly as possible. It absolutely helped me to have this checklist during the most emotional time of my life.
This educational article is provided as a courtesy by Tarra Jackson, Agent, (CA Ins. Lic. #) New York Life Insurance Company. To learn more about the information or topics discussed, please contact Tarra Jackson at trjackson@ft.newyorklife.com.
Hi Tarra, I’m sorry for your loss. I will definitely keep you in my prayers. Thank you for sharing during this time. I thought about this recently and wondered what to do in case of a family loss. The information you provided is very helpful. I feel a little more at ease knowing what I need to do. Thank you again.
So sorry for your loss – it is very devastating to lose your mother as I still remember holding my grandmother’s hand as she transitioned in 2009. Know that their spirits are with us always – stay blessed and stay strong sis.