How to prepare your finances for life after divorce

On Behalf of | Jul 10, 2020 | family law

As you ponder divorce, you understand the impact it will have on your personal life. Not only will your relationship status change from married to single, but divorce will also affect any children you have with your ex-spouse. And that’s just the start.

While your personal health and well-being are critical to your future, so is your finances. And that’s why you need to prepare accordingly. Here are four things you should do:

  • Create a property and debt division checklist: Doing this now allows you to best protect your legal rights during the divorce process. Subsequently, you better position yourself for financial success in the future. List out all your assets and debts, along with whether they should be subject to division.
  • Create a post-divorce budget: You may not be able to do this in entirety until your divorce is finalized, but it’s never too early to start. Your post-divorce budget should include an accurate list of income sources and expenses. Once you have the bones in place, you can decide how to make changes.
  • Think about where you’ll live: Housing is sure to be among your most costly monthly expenses, so it’s a must to think about this in advance. Maybe you’re hoping to stay in your family home with your children. Or maybe you realize that moving out and seeking a fresh start is the way to go. Regardless, think about where you’ll live and the cost associated with your decision.
  • Learn more about child support and alimony: It doesn’t matter if you’re paying or receiving one or both of these, it will impact your finances. If you have any reason to believe these details will come into play during your divorce, learn more about the potential impact on your future.

These are the types of steps you can take to best prepare your finances for life after divorce. There’s no way of predicting exactly what will happen in the future, but there’s nothing stopping you from preparing for every possible situation.

The steps you take before and during the divorce process, as they pertain to your finances, will affect the way you live post-divorce. Don’t make any decisions that you could end up regretting in the future.