Moving Forward: Building Financial Stability After Change

When life changes, your finances do too

Divorce, the death of a spouse, or receiving an inheritance can bring emotional upheaval and financial uncertainty. These moments often prompt difficult questions about what comes next — but they can also mark the beginning of greater direction and control. These same transitions can open the door to growing financial stability and independence. More women than ever are stepping into financial decision-making roles, especially later in life, and with the right support and advice, this chapter can become a fresh start.

Why financial transitions are becoming more common

Among baby boomers, the divorce rate has increased significantly since the 1990s, and widowhood continues to affect millions of women each year. More than a third of divorces now involve couples over 50, a trend often called "gray divorce." While divorce rates overall have declined, the rate for adults over 50 has doubled since the 1990s and tripled for those 65 and older.

Longer life expectancies, shifting priorities, and milestones like retirement or an empty nest often lead couples to re-evaluate their relationships, lifestyle goals, and financial priorities. In Florida and other states, changes in family law — such as the elimination of permanent alimony — have made financial planning more urgent for those starting over.
At the same time, by 2030, women are expected to own a substantial share of the $30 trillion in financial assets baby boomers will pass on, signaling a historic shift in financial influence.

Standing at a crossroads

For many women, a major life change also means taking on financial responsibilities they've never faced before. Divorced women's household income typically drops 45%, compared with 21% for divorced men. The emotional and physical stress of a late-life divorce can mimic grief, emphasizing the importance of pacing financial decisions to avoid decision fatigue or regret.

Moving forward isn't about having every answer — it's about taking small, intentional actions that build momentum. The following steps can help you begin that process.

Step one: Understand your financial foundation

Before making any major decisions, start by understanding your full financial picture. Gather documents, such as bank statements, investment accounts, insurance policies, tax returns, estate plans, and property records. Make a list of all income sources, assets, and debts. Avoid large or irreversible financial moves right away, such as selling a home or cashing out investments. Begin building a team of professionals — an attorney, CPA, and financial advisor — who can help you make educated, informed choices.
Being organized is the foundation for every step. Advisors who emphasize calm and collaboration can help clients avoid costly missteps.

Step two: Create a clear picture of your new financial life

Once you feel balanced, start translating that information into a plan. Develop a realistic budget that reflects your current lifestyle, income, and goals. Identify how long temporary income (such as alimony or survivor benefits) will last. Review insurance policies and healthcare coverage for any gaps. Revisit your tax situation, including your new filing status, deductions, and estimated payments. If assets such as brokerage accounts were divided in a divorce, review cost basis and potential capital gains before selling.
A well-defined financial snapshot helps you move from reaction to direction.

Step three: Rebuild with purpose and confidence

With a clearer picture in place, it's time to focus on what comes next. Design a long-term plan for income, investments, and retirement that supports your priorities. Reassess your goals, including independence, family support, philanthropy, or legacy planning. Update wills, trusts, and beneficiary designations to reflect your new circumstances. Align your financial strategy with what matters most to you, not just what made sense before.
This is where rebuilding becomes empowering. You're not just recovering; you're creating a plan for the future you want. Kiplinger notes that with proper planning, women can turn gray divorce into a financial "win" by using settlement assets to build sustainable income, align investments with personal goals, and regain control of their financial independence.

Common pitfalls to avoid

Even well-meaning decisions can create future stress if made too quickly. Accepting a settlement or inheritance without understanding tax implications, holding onto a home or property that strains cash flow, or overspending soon after receiving a lump sum from a settlement, inheritance, or insurance benefit can all create financial challenges later on. It's also common to forget to update estate documents, beneficiaries, and insurance policies, or to make major financial choices while emotions are still raw.
Taking time, seeking advice, and staying organized can help prevent these mistakes and lay the groundwork for long-term security.

Guidance that goes beyond numbers

True recovery involves more than just rebalancing accounts. It's about regaining confidence. A good advisor can provide structure through a well-thought-out financial plan, helping you make decisions at your own pace.

Finding strength through partnership

Rebuilding doesn't mean starting over alone. The right professionals, including CERTIFIED FINANCIAL PLANNER® practitioners and CPAs, can help turn uncertainty into empowerment through education, collaboration, and consistent support. Working with a coordinated team across legal, tax, financial planning, and wealth services can help ensure every piece of your plan aligns and nothing is overlooked.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.