Even if you know that divorce is necessary to improve your life, it’s safe to assume you still have questions and concerns about the impact it will have on your future.
It’s important to prepare your finances for life after divorce, as the steps you take now will impact how you live in the weeks, months and even years to come.
Here are some of the most important questions to answer pertaining to your finances:
- Do you have a property and debt division checklist to guide you? This is necessary to ensure that you protect your rights during your divorce. Without this, you could miss out on assets that are rightfully yours or take on debts that you shouldn’t.
- Have you created a post-divorce budget? Your finances will change in many ways after divorce, so the sooner you create a budget the sooner you can plan for the future. Once you have this, you can make key decisions in regard to the expenses you need to reduce or eliminate.
- Will child support or alimony come into play? It doesn’t matter if you’re paying or receiving money every month, these payments will affect you in many ways. If matters of child support or alimony are likely to come up during divorce, plan in advance for how you want to approach the subject.
- Can you do anything about your joint debt right now? In some cases, it’s best to eliminate joint debt before the divorce process. For instance, if you have joint credit card debt, talk about using your savings to pay the balance in full.
- What are your thoughts on the family home? Should you own a home together, it has the potential to be a serious sticking point. Have an idea of how you want to approach this. Maybe you want to stay in the home, or maybe you’re okay with selling it. Regardless of your stance, it will impact your finances after divorce.
As you answer these questions, your post-divorce financial situation will begin to take shape. Furthermore, you’ll better understand the steps you can take to protect your legal rights to position yourself for future success.