How to Take Control of Your Expenses After a Divorce
Divorce not only affects your personal life, but it also affects your finances. Finding financial stability post-divorce can be a challenging endeavor.
There are a lot of expenses that come into play, such as attorney and court fees. In addition to your expenses, there’s the daunting task of dividing marital assets. These costs can end up making you feel uneasy about your financial situation. However, with the right planning, you can take control of your finances after a divorce so you can look to the future and start a new life – both financially and personally.
Here are some tips to help you rebuild your finances and get back on your feet.
Reassess Your Financials
Whether your spouse may have handled the finances, or you shared the responsibility, either way, after a divorce, it’s important to sit down and reassess your budget. Make sure you look over the due dates for your monthly bills and take a detailed look at your bank accounts. In order to attain financial stability, you need to be organized and know exactly what you are working with. Moving from a dual income to a single income household can have a significant impact on your expenses, spending and savings moving forward.
Create a New Budget
Once you have a better understanding of your monthly expenses, create a new budget. Also establish a schedule of due dates and bill amounts to be paid every month. Once you have a clear picture of what is going out versus coming in, you may have to make adjustments and scale back spending on extraneous items.
End Any Joint Accounts
If you had any joint accounts with your spouse, such as a bank account, a credit card or an investment fund, you should get rid of them right away. Doing so will protect you from any damaging financial decisions that your ex-spouse might make in the future, as well as give you a better understanding of your income to expense ratio so that you know where you stand financially.
If possible, cease any joint accounts before your divorce is finalized so that you don’t have to worry about any financial ramifications moving forward.
Ask for Help
There is no shame in asking for help. A divorce can be stressful enough to deal with on its own; trying to handle the financial aspect that comes along with this life-changing event can be very challenging and add to an already stressful time in your life. Plus, getting a second opinion can be extremely helpful. A financial advisor or a debt relief counselor can help you get a better idea of your budget and your expenses so that you can get your finances back in order.
Divorce can be costly and create financial issues that you never had to deal with before. At Tayne Law Group, P.C., our debt relief lawyers have helped many people get over the financial hurdles that come along with divorce. Please contact our firm today to speak to one of our attorneys and find out how we can help get you back on your feet financially.
What financial steps have you taken after your divorce? Are you aware of your income to expense ratio? Tell us your comments below.