My parents just had a nasty, nasty divorce after 28 years of marriage. Mom (53 years old) has gone from having a healthy amount of money coming in each month from my dad to manage the household to $0. She gave up her career the day she married my father and has been a housewife ever since. I live independently and my brother has just started his first year at university, away from home.
The following are her current assets (all figures in USD):
- $7k in cash in various bank accounts
- $50k in stocks and bonds in her own name
- $37k in stocks and bonds in joint names with my father that must be liquidated immediately
Her immediate liabilities (that are not tied to her apartment) are as follows:
- $25k in legal fees
- $200-$300 per month in insurance
- $35 in phone bills per month
The matrimonial apartment will be transferred to her in 18 months (details are complicated, but it involves a procedure that my father can't do immediately), and she has immediately assumed responsibility for all liabilities. The apartment is worth $375k, with around $60k left in mortgage repayments. As she does not live in the same country the matrimonial home is in, it is currently being rented out to a tenant at $1650 per month, $500 short of the monthly mortgage repayments ($2,150).
My mom must leave the place she has been renting for the past 12 years in a month's time. She will be downsizing to a 2 bedroom flat. The average rent in my city for a 2 bedroom flat (my 19 year old brother will live with her when he comes back from university during holidays) is $2,000-$2,500.
She feels at a complete loss and I want to help, however I am not able to provide much in financial support at this stage. We never thought she would get $0 for her monthly maintenance, but now we have to do the best with what she has. She's going to try apply for jobs but the job market here isn't friendly to older women like her, and if she gets anything she is likely to only be earning around $1500 a month.
What are the first steps she can take to gain back some stability in her life? Does anyone have any advice they can give for supporting a parent through a difficult time?
Submitted February 17, 2017 at 09:12AM by acornstopopcorn http://ift.tt/2kFNcwW
