Ways to Financially Prepare for Divorce

 Posted on December 00,0000 in Divorce Finances

“I think we should get a divorce.” Whether those words came as a total and complete shock or it was only a matter of time until they were uttered, it is never easy to hear that your marriage is falling apart. Divorce is an emotionally draining process, but it can also put a strain on your finances. Luckily, you can alleviate some of that strain by making sure you are well prepared before you even begin the divorce process. Making sure your finances are in order before you begin can save you some stress and a headache or two in the long run. Gather Your Records

Your first step in preparing yourself and your finances for divorce is by gathering all of your financial records and making copies of them. You should make sure that you have copies of your:

• Bank account statements from the past year, including checking and savings;
• Current retirement account statements;
• Documents pertaining to your mortgage, car loans and any personal loans;
• Credit card statements from the past year;
• Recent pay stubs; and
• Your tax returns from the past couple years.

Open New Bank Accounts (and Start Saving) As soon as you are legally separated from your spouse, you should open new checking and savings accounts, but in your name only. This will ensure that your money is not going to be a part of your marital property, which is subject to division during a divorce. You should also make sure that you are putting away a little bit of your income each month. Transitioning from living with two incomes to only your own income can be challenging, so making sure you have some sort of a safety net is good. Take Record of What You Own When you begin dividing your marital property, you should know what you own, what you are entitled to and what cannot be subject to division by state law. Make lists of both marital and nonmarital property, including everything from retirement accounts to your collection of antique postage stamps. You should also try to estimate what each item is worth, that way you can make sure both you and your spouse are getting equitable shares of your marital estate. Create a Budget Write down all of your sources of income for each month and all of your expenses, taking into account that you will only be working with your own income from now on. Before your divorce, weekly trips to the nail salon might have been doable, but can you still afford them after you are divorced. Try to cut back on your spending and using that money to build your new savings account. Speak with a Knowledgeable DuPage County Divorce Attorney

There are many things that will stress you out during your divorce, but your finances do not have to be one of them. Speaking with an Aurora divorce attorney can help you get your financial affairs in order, figure out which property you are entitled to and plan for the long term. Contact the Law Office of Matthew M. Williams, P.C. to begin preparing for your divorce today. To schedule a consultation, call the office at 630-409-8184.

 

Sources:

https://www.nerdwallet.com/family-law-attorney/finance/7-ways-to-prepare-your-finances-for-divorce/

https://www.thebalance.com/how-women-can-prepare-financially-for-divorce-4158899