#66 - Understanding The Widow’s Penalty and What You Can Do About It
READ THE TRANSCRIPT
Losing a spouse is heartbreaking, but it can also trigger financial challenges that many women aren’t prepared for.
The Widow’s Penalty is real, and it can have long-term consequences on income, taxes, and retirement.
In this episode, I walk through the Widow’s Penalty, what it is, why it disproportionately affects women, and what proactive steps can be taken to protect your financial future. We share real client stories, clear up tax myths, and offer strategies to navigate the road ahead with more confidence and clarity.
Many women find themselves navigating complex financial waters at a time when they're most vulnerable. - Eric Blake
EPISODE SUMMARY
- How the Widow’s Penalty results in higher taxes and lower income due to filing status changes and reduced Social Security benefits
- Why women are more impacted due to longer life expectancy, smaller Social Security/pension benefits, and caregiving interruptions
- Real-life client examples, including challenging planning scenarios involving early widowhood and limited access to retirement assets
- Important tax strategies, like using Roth conversions and capital gains harvesting during joint filing years
- When couples should begin retirement planning conversations, emphasizing proactive communication before unexpected life events
- And more!
EPISODE LINKS & RESOURCES
- 👉 Get Your Complimentary Retirement & Tax Analysis
- Links & References
- Related Episodes
- Episode 37: Top 5 Questions on Social Security Survivor Benefits
- Episode 59: Breaking Money Silence with Kathleen Burns Kingsbury
- Episode 63: Social Security Planning After Divorce
- Episode 65: How the New Tax Law Could Impact Your Retirement
- Connect & Participate
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