Taking control of your finances during divorce

Taking control of your finances during divorce

| May 24, 2021 | Divorce |

Getting divorced means there could be substantial changes to your finances. Depending on your situation, you may have had consistent help with earning an income and paying bills prior to your split.

Now, it is up to you to manage your finances, stay on top of payments and plan for your future. Taking a proactive approach to adjusting your budget can help you maximize your money during this unprecedented time.

Know your situation

As your divorce begins, make sure you understand the total of marital assets. According to U.S. News, you will want to know the figures for all of your shared bank accounts and savings plans. This includes retirement plans and benefits. You will also want to know the total of debts owed.

Even if your partner primarily oversaw the finances, your effort to understand where your money is can help you to coordinate your own budget and identify a financial strategy that will work for your lifestyle.

Prioritize your career

Having a steady source of income can make a considerable difference in your ability to provide for your needs. If you did not have a job prior to your divorce, begin looking for opportunities as soon as you can. Polish your resume and find ways to highlight your most desirable skills as you look for employment. You may need to start with a lower-paying job and work your way up to something more sustainable over time.

If you already have a job, work with your employer to adjust your retirement benefits. You may want to remove your spouse as a beneficiary and adjust your contributions, especially if you need to put your money in other places for a time. Focusing on your career can help you stabilize your finances and prevent costly repercussions that sometimes accompany a divorce.

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