There’s no doubt that divorce is hard. It can drain you not just mentally and physically but financially as well.
One minute you’re sharing all the expenses with your spouse and the next you find yourself trying to sustain a residence and finances on your own.
Reality starts to set in. The financial implications of divorce can be devastating regardless if you are wealthy or not.
Good news is there are steps you can take that can help lessen the financial impact after the divorce.
STEPS YOU CAN TAKE TO HELP REGAIN SOME FINANCIAL STABILITY
Regaining your finances after a divorce isn’t a simple fix. There’s no magic button to push that will make it happen over night.
But there are some steps you can take that may help you regain your financial footing.
Let’s take a closer look.
- Get some financial advice-Remember it will take time to rebuild what you once had. Speaking with a financial advisor about your situation, what you need and where you want to be financially in the future is critical to regaining your financial stability.
- Invest your money-I know it’s hard. But you know that saying “in order to make money you have to spend money”. Investing a little here and there is a good way to secure your finances in the long run.
- Do not settle disputes in Court-Dragging your divorce through the Court system is very costly and most of the time not necessary. Reaching a mutual settlement agreement outside of the courtroom can not only save you time and money but some emotional damage as well.
- Downsize your home-When you were a couple you could afford the big house. Now that you’re an income of one, purchasing the same type of house is not beneficial nor financially smart. You need to learn how to downsize and live within your means.
- Negotiate your assets-Not everything needs to be divided 50/50. You can use some leverage and negotiate one asset for another.
- Go back to work-Going back to work can provide additional financial stability and could spark that once career driven stride. It can bring you back a sense of who you are.
- Don’t give in on your pensions so easily-Sometimes when there is a lot of property involved you may just bargain your pension to keep that vacation home. Remember, your pension is there for your future retirement. If it doesn’t have to be touched, try and leave it alone.
- Make sure division of assets are all agreed upon-Once the agreement is made and filed with the Court it’s very hard to go back and revisit an assets. Make sure everything is agreed upon.
- Consider any tax implications-especially when it comes to dividing up pensions. You may end up paying more tax than necessary.
- Consider free advice services.
As you’re going through a divorce, just remember you do not have to do it alone. There are experienced professional family law attorneys that you can speak with that can help along your new journey and set your mind at ease.