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Losing someone close to you is heartbreaking. There’s so much to process emotionally, and yet, life keeps moving. Bills still need to be paid, and decisions still need to be made—even when you’re barely coping.
If you’ve recently lost a loved one, first, we’re truly sorry. Grief is hard enough without the added pressure of managing money. This blog is here to offer some gentle guidance to help you take care of your finances in the weeks and months ahead.
Give Yourself a Moment to Breathe
Losing someone is heartbreaking, and dealing with paperwork and bills on top of that can feel overwhelming.
It’s okay to hit pause. Take a moment to breathe. You don’t have to do everything at once—or on your own. If you can, lean on a trusted friend or family member to help with some practical things.
Having people around you who care is one of the most valuable things during this time. And remember, it’s okay to leave any big decisions—like selling a house or changing investments—for later, when you’re feeling clearer and steadier.
Dealing with Debts After Death
There are some essential things to consider regarding debts after someone passes away. A common myth is that all debts are automatically forgiven, but that’s not true. Most debts must be settled during the probate process using the assets left behind. Here’s a quick breakdown:
Secured Debts
These are loans backed by an asset, like a mortgage or car loan. If these debts aren’t repaid, the lender can repossess or sell the asset to recover the money owed.
When you have a mortgage, you usually also have mortgage protection insurance in place. This type of cover is designed to pay off the outstanding mortgage balance if you or your partner (on a joint policy) pass away during the loan term.
In most cases, the mortgage protection policy would have been assigned to the lender, meaning the payout goes straight to them to clear the remaining mortgage. This helps ensure the loan is settled quickly, so you’re not left worrying about mortgage repayments during this difficult time.
Unsecured Debts
These include credit card balances, personal loans, and medical bills. They’re not tied to specific assets but still need to be paid—usually from the estate’s funds.
Joint Debts
If someone co-signs a loan or credit agreement, the surviving co-signer typically becomes responsible for the remaining balance.
For more information about this topic, read our blog: What Happens to Your Debts When You Die?
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Check Accounts, Bills and Ongoing Payments
Start by identifying any bills or accounts that were in their name—this could include utilities, loans, or subscriptions. If there were any joint accounts or shared debts, you’ll need to review those too.
Let the relevant providers know about the death as soon as possible—they’re often understanding and may offer flexibility during this difficult time. Sometimes, you may need to transfer certain accounts into your name to keep things running smoothly.
Talk to the Bank
After a loved one passes away, it’s important to contact their bank or credit union to get clear information on their accounts. If you had a joint account, you’ll usually still have access to it. However, if the accounts were in their name only, they may be frozen until probate is granted.
It’s a good idea to let the bank know about the death, request a statement of their accounts, and ask about any direct debits or standing orders that may need to be cancelled or updated. The staff can guide you through the next steps and what documents are needed.
Deal with the Will and Probate
If your loved one left a will, the executor named will need to apply for probate. If there is no will, the estate will be handled under Irish intestacy rules. This process can take time—sometimes months—so it’s good to know that it might not be sorted straight away.
You can visit Citizens Information for a step-by-step guide on probate in Ireland.
Get a Clear View of Available Funds
It’s helpful to gather a clear picture of any money that might be available to help cover bills and expenses. Here are some common sources to check:
Life Insurance
If they had a life insurance policy, this can provide a lump sum payment to help with things like funeral costs, mortgage payments, or other bills.
Death-in-Service Benefit
If they were working, their employer might offer a death-in-service payment—a tax-free lump sum that’s often a multiple of their salary.
Pension Funds
If the deceased had a pension fund, what happens next will depend on a few factors—mainly whether they passed away before or after retirement and the type of pension they had.
For example, if the person passed away before retirement while still working and had an occupational pension, the value of their pension fund is usually paid to their estate based on what’s called a “surrender value.” This means the estate may receive the full value of both their own contributions and their employer’s contributions to the pension fund.
However, there are certain rules set by Revenue that may affect how and when these funds can be paid out. Every case is different, so it’s important to understand the specific conditions.
Read more on our blog: What Happens To Your Pension Plan When You Die?
Who to Contact
To find out if your loved one had life insurance, a death-in-service benefit, or a pension fund sum, there are a few key places to contact. Start by checking any policy documents or paperwork they may have left behind and get in touch with their life insurance provider.
You should also reach out to their employer’s HR department—they can let you know if a death-in-service payment applies or if there are any workplace pensions.
Investments and Savings
Check if there are any investments, savings plans, shares, fixed-term deposits, or assets like stocks, bonds, or mutual funds.
Some of these accounts may be in joint names, which can make access easier, while others might be solely in the deceased’s name and form part of the estate—meaning they may require probate before any money can be released.
It’s a good idea to contact the financial institutions they were involved with to get up-to-date statements and to understand what’s available, how to access it, and what rules apply.
Joint Bank Accounts
If you shared any bank accounts, you may still have access to those funds right away, which can help cover immediate expenses.
Government Benefits
Depending on your situation, you may be entitled to supports like the Widow’s, Widower’s or Surviving Civil Partner’s Pension.
To find out if you qualify for bereavement benefits or other government assistance, it’s a good idea to check the Citizens Information website.
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Understand Inheritance and Tax Rules
It’s important to understand how tax works in the year of bereavement—and in the years that follow—especially if you’re a widowed person or a surviving civil partner.
If your spouse or civil partner passes away, you won’t have to pay Capital Acquisitions Tax (CAT) on anything you inherit from them. However, if you were in another type of relationship, such as cohabiting, inheritance tax may apply.
CAT is based on how much each person inherits and their relationship to the deceased, with different tax-free thresholds for different groups. To get clear guidance on your own situation, you can contact Revenue—they can help you understand what taxes (if any) might apply and what reliefs you may be entitled to.
Use a Simple Budget Planner
Money can feel messy after a loss. A budget planner can help you see what’s coming in, what’s going out, and what needs attention. Even a simple monthly spreadsheet or a budgeting app can give you back a sense of control.
If you’re not sure where to start, we’re happy to help—you can download our free personal budget planner here.
When You’re Ready, Plan for the Future
When someone close to us passes away, it’s natural to start thinking about our own lives and what would happen to our family if we weren’t around. Once things settle a bit, it’s a good time to look at your own financial plans. Do you need to update your will? Do you have life cover in place? Has your budget changed now that things are different?
It’s also worth thinking about your children’s long-term financial security. You don’t have to figure it all out alone—chatting with our financial advisors can really help you get a clear picture of where you stand and what steps you might want to take next.
Here’s a helpful list of things to think about or prepare to protect your family’s future if you’re not around anymore:
Make or Update Your Will
Outline who should inherit your assets and who will care for your children (if underage).
Put Life Insurance in Place
This can provide a lump sum to your family to help with living costs, mortgage payments, or childcare.
Appoint Guardians for Your Children
Decide who would look after your children if something happened to you (and your partner).
Create a Letter of Wishes
This isn’t legally binding, but it can guide your loved ones on things like funeral preferences or how you’d like your children raised.
Set Up a Savings Plan or Trust for Your Kids
Helps ensure their education or future needs are looked after.
Review Your Pension & Death-in-Service Benefits
Make sure the right people are listed as beneficiaries.
List and Organise Important Documents
Keep things like insurance policies, account info, and your will in one safe, easy-to-find place.
Pay Off or Manage Debts
Reducing debt means more of your estate goes to your family and fewer complications during probate.
Plan for Inheritance Tax
It’s important to understand how inheritance tax could impact your estate, as it can significantly reduce what you leave behind for your loved ones. By planning ahead, you can explore options to help reduce this burden on your family.
One option to consider is transferring some of your assets during your lifetime, which can be a tax-efficient way to pass on wealth and potentially lower the overall tax bill on your estate.
Talk to our Financial Advisors
We can help you put a proper plan in place and make sure nothing important is missed.
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Grief is not linear, and managing your finances during difficult times can feel overwhelming. Remember, you don’t have to do everything perfectly or handle it all on your own. Take it step by step, and prioritise looking after yourself first.
Financial planning helps you stay organised, especially during life’s toughest moments. At LowQuotes, we’re here to guide you through your financial journey, helping you make informed decisions to support your own and your family’s financial well-being.
We provide various financial services, such as mortgages, serious illness cover, financial planning, pensions, life insurance, health insurance, and savings & investments.
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All our content has been written or overseen by a qualified financial advisor. However, you should always seek individual financial advice for your unique circumstances.
