Dear Kim,
My husband was diagnosed with a chronic illness that may limit his ability to work long-term. We’re both in our early 50s, and I’m worried about how we’ll manage if he can’t return to his job full-time. What should we be thinking about now to prepare for this new reality?
Sincerely,
Facing Our Future
Dear Facing Our Future,
First, I’m so sorry you are both dealing with a health crisis. It’s never easy at any age and you are both so young.
I would sit down and take stock of where you are. What are your monthly expenses? Can any be adjusted or eliminated? Do you have good insurance, or will this illness create a further financial burden? When you look at your income, you may want to plan on just yours for now, and then you’ll be in a better position if he is able to work. Where are you when you do that analysis? If you have a shortfall, then a harder discussion is warranted. Is there a job you could transition to that would pay more? What type of downsizing makes sense for you right now? Are you still raising children, and what are their needs?
What kind of savings do you have that you may be able to draw from? Of course, if you can stay away from your retirement accounts, that would be best. You will pay tax and penalties if you withdraw from them now, and you will need those funds down the road. If your husband is unable to work and thus contribute to retirement accounts, they will be all the more precious.
I understand the double burden of dealing with a health crisis with someone you love and being worried about how you will make ends meet at the same time. Stress inhibits your ability to think clearly, and it may be a good idea to sit down with someone that can help you work through this situation. Sometimes, an outside voice can bring clarity. I’d be happy to do that for you, just reach out.
Best of luck.
Kim
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