Building a blended family after a divorce can get complicated. Not only is becoming a step-parent a major emotional commitment but now add in the finances and the dynamics involved in supporting this new expanded family. As a step-parent myself, I know all about this difficult and wonderful journey.
I spoke with MassMutual about the financial concerns when tackling step-parenting. While some tips are obvious (eg. get life insurance), other ideas are more nuanced (consider creating a trust and updating your will).
The article addresses four things that new stepparents should do:
- Decide how you and your new spouse will manage household finances.
- Update beneficiaries on insurance policies, bank accounts, and brokerage accounts.
- Secure or revise life and disability income insurance policies, if needed.
- Learn how your changed situation will affect your taxes.
You can read the article here and discuss your step-parenting journey in the comments.