Going through a divorce can be an emotionally confusing time period, and what comes after can be equally, if not more difficult. As you are readjusting to life after a divorce, one of the most important considerations will be how to move forward financially. A divorce can be very expensive, and when you go from a double income to a single income or are looking at child support and alimony, it is essential to figure out the best way to adjust to your new financial situation.
Financial Strategies for Moving Forward After a Divorce
After a divorce, most people are looking at a different financial profile than they were as a married couple. It can be challenging to recover financially after a divorce, which can be costly. Here are a few strategies to consider when you are starting to put together your post-divorce financial plan.
Establish your financial goals – A divorce is a fresh start, and a perfect opportunity to take a look at your financial profile and set some goals. Are you hoping to save money for your children’s college every month? Or pay off your house within a certain amount of time? Take this as an opportunity to outline what you want and determine the path to get there.
Put together a budget –What is your total monthly income, including all child support and alimony payments? How much are your planned expenses every month? What is left over? Understanding exactly how much you will make versus how much you will owe every month is the starting place for establishing a monthly budget.
Plan for emergencies – A large part of every budget should be planning for emergency situations. Do you have money to support yourself and your children if you were to lose your job or become injured? Make sure this is a consideration when you are determining how much savings you will need.
Invest in your future – Automate your savings so that every month, you are putting money into a savings account and a retirement fund. By setting up an automatic withdrawal every month, you will not have to remember this every month, it will happen automatically, and the savings will add up quickly.
Start right away – It is easy to procrastinate when it comes to financial planning, but by starting right after your divorce, you will not lose any time and will be able to move forward financially with a purpose. The faster you set up your goals, plan a budget, and start living within your means, the more financially confident and comfortable you will be after a divorce.
Talk to a Cedar Park Divorce Attorney Today
Going through a divorce can be one of the most challenging times in a person’s life. The changes and emotions that come along with a divorce can make it difficult to focus on your finances, your legal rights and interests, and other practical matters. The Jackson Law Firm can help advise you on the best course of action while you are going through a divorce. Contact us today at (512) 528-1900 to schedule a free initial consultation and learn more about our experience and our services.
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