How to Maintain Financial Wellness During Major Life Transitions

29 June 2025

Life is unpredictable—one day you're cruising along, and the next, you're flipping your world upside down with a new job, marriage, baby, or even a sudden layoff. These are what we call major life transitions, and while they often come with big emotional shifts, they also bring massive financial changes. So, let’s have an honest, no-fluff conversation about something we all need but don’t always prioritize: maintaining financial wellness through it all.

Whether you're getting married, starting a new career, going through a divorce, or entering retirement, your money mindset and habits play a massive part in how smoothly you navigate the change.

Let’s dig in, shall we?

What Is Financial Wellness Really About?

Before we dive into the nitty-gritty, let's clear one thing up: financial wellness isn't about having a seven-figure bank account. It's about feeling secure, having control over your day-to-day finances, being prepared for the unexpected, and having the freedom to make choices to enjoy your life.

In a nutshell, it’s peace of mind with your money.

Why Major Life Transitions Rock the Financial Boat

Life transitions often bring a cocktail of excitement, fear, uncertainty, and change—especially in your wallet. Think about it:

- Changing jobs might mean a gap in income or different benefits.
- Getting married blends two financial lives with different habits and debt.
- Having a baby? Say hello to diapers, daycare, and doctor visits.
- Divorce can split everything, including your savings and future goals.

Even joyful milestones come with price tags and stress.

So, what can you do to ride these waves instead of getting wiped out?

Step 1: Know Your Numbers (Yes, All of Them)

Let’s be real—most of us avoid looking at our bank accounts during times of change. But this is exactly when you need financial clarity.

Create a Snapshot

Write down your:
- Current income
- Monthly expenses
- Debts
- Savings
- Investments
- Subscriptions (yes, even that $12 you forgot about)

This gives you a bird’s-eye view of your money. Think of it like checking the map before you head into unknown territory.

Estimate Future Changes

If you're expecting a baby or moving into a new home, estimate how expenses might shift. Will your rent go up? Will you need to buy health insurance out of pocket?

It’s not about predicting every little thing—it’s about preparing your mindset and reducing surprises.

Step 2: Build or Rebuild Your Emergency Fund

This fund is your financial cushion, your safety net, and your get-out-of-jail-free card.

The 3-to-6 Month Rule

Aim for 3 to 6 months of essential living expenses. That means housing, food, utilities, transportation, and basic insurance. Not Netflix. Not takeout. The essentials.

If you’re just starting off? Start small. Even $500 can be a lifesaver and give you peace of mind.

Automate This Habit

Set up automatic transfers to your emergency fund every payday—like a recurring date with your future self. You won’t miss it, and you’ll thank yourself later.

Step 3: Budget Like Your Life Depends on It (Because It Kind of Does)

Budgeting during a life transition is like giving your money a purpose. Without one? It wanders.

Use the Zero-Based Budget

Every dollar should have a job—rent, savings, groceries, retirement—until your income minus expenses equals zero. Not zero in your account, just on paper.

This method gives you control and forces you to prioritize. That’s especially important when your financial situation is shifting.

Step 4: Reevaluate Your Financial Goals

Your priorities may change during a life transition—and so should your goals.

Ask Yourself:

- What new goals make sense now?
- Which old goals can wait or change?
- Are my timelines still realistic?

For example, if you were saving for a vacation but suddenly need to furnish a nursery, it's okay to pivot. Goals aren’t set in stone—they’re living, breathing things.

Revisit them often. Adjust as needed. It’s part of staying financially well.

Step 5: Talk About Money (Even If It’s Awkward)

Whether you're getting married, getting divorced, or moving in with a roommate, money talks are essential.

Why Communication Matters

Money is the #1 cause of stress in relationships. So get ahead of it. Lay it all out—debts, credit scores, budgeting styles, long-term plans.

Keep It Judgment-Free

The idea isn’t to point fingers. It’s to open the door for transparency and teamwork. This is especially critical in blended families, partnerships, and even among friends going into business.

Remember—money is emotional, but conversations around it need to be practical.

Step 6: Protect Your Assets (You’ve Worked Hard for Them)

Major changes call for major protection.

Get or Adjust Insurance

Your health, life, home, and even disability insurance might need a second look. New baby? You need life insurance. Getting married? Health insurance might be cheaper on a partner’s plan.

Update Legal Documents

This includes wills, power of attorney, beneficiaries on accounts, and property titles. Ignore this, and things could get legally messy if the unexpected ever happens.

Step 7: Don’t Fly Solo – Get Professional Help

There’s no shame in asking for guidance. Life transitions are overwhelming, and having a professional in your corner can make a world of difference.

Consider a Financial Advisor If:

- You're managing a windfall or inheritance
- You're getting a divorce
- You’re planning for retirement
- You just don't know where to start

A good advisor helps you align your money moves with your life moves. It’s like having a financial GPS.

Step 8: Stay Flexible But Disciplined

If life transitions teach us anything, it’s that flexibility is key.

Your financial plan isn’t meant to be perfect—it’s meant to evolve. But here’s the trick: while you stay flexible, stick to the basics. Save consistently. Budget wisely. Avoid debt when you can. Track what’s coming in and going out.

Like yoga for your wallet: flexible with form, strong at your core.

Step 9: Take Care of Your Mental Health Too

Finance isn’t just about dollars and cents—it’s deeply emotional. Major transitions often crank up fear and uncertainty.

When your mental health takes a hit, financial wellness can follow. Overspending to cope? Avoiding bills out of anxiety? Been there.

Here’s what helps:

- Talk to someone—therapist, friend, coach
- Create small money wins (like saving $50 a week)
- Don’t compare your journey to others’
- Celebrate progress, no matter how small

Money and emotions are more connected than we like to admit. Tending to both is non-negotiable.

Final Thoughts: Financial Resilience Is a Skill You Build

Let’s wrap this up.

Major life transitions are messy. They knock you off track. But they also offer a unique opportunity to hit the reset button and build resilience.

Financial wellness isn’t about controlling everything. It’s about being ready for anything.

So, take the time. Ask the hard questions. Build the habits. Have the talk. Adjust the goals. And most importantly, give yourself grace. You’re doing better than you think.

Because no matter what life throws your way—marriage, baby, divorce, new job—you’ve got what it takes to stay financially well.

One step at a time.