The Art of Wealth Management

Case Study: The Death of a Spouse

These stories are hypothetical examples of how Dodds Wealth Management Group could assist clients in various situations. Personal information has been used as a basis for each example, but each has been modified to protect our members’ privacy.

*Please note that the information below is not a client testimonial, but instead is an example intended for general information only, and is not predictive of your individual results. Your results will vary. These are illustrative of the types of clients we serve.

There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.

This information is not intended to be a substitute for specific individualized tax or legal advice, We suggest you discuss your specific tax or legal issues with a qualified tax advisor or attorney.

The Death of a Spouse

Although Cathy’s husband left her with $5 million of assets when he passed away prematurely, she still felt vulnerable.

She isn’t sure how to manage the money or coordinate the assets he left behind, such as his pension fund. She is also concerned about the tax implications of making the wrong moves. And since Cathy is now a single mother raising two teenage boys, she doesn’t need the extra stress.

The Dodds team would start by assessing Cathy’s spending needs, and develop a budget for her to follow. This would remove the guesswork about how much she could spend without the fear of exhausting her assets.

We would then adjust her portfolio to make sure it carried the appropriate risk profile for her situation.*

Also, we would take steps to ensure the children were prepared financially if anything should happen to her. We would coordinate establishing trusts, selected guardians and trustees; have pre-approved family members to step in to care for and finish raising the boys, and have another trusted family member to fulfill the needs as the financial co-trustee.

Cathy would feel less anxiety about paying the bills – and more confident about the future. With her financial concerns behind her, she would have more energy to devote to her sons, as well as to starting a new life for herself.

*Please note that the statements above are for general information only, and are not predictive of your individual results. Your results will vary.