How will divorce affect your financial future?

There’s no good reason to stay together with your spouse if you’re unhappy. You need to do what’s best for you, your future, and your finances. If you don’t, you may regret it for the rest of your life.

As you prepare for divorce, however, learn more about the many ways your financial future may change as a result. Here are three points of consideration:

  • Property and debt division: You’ll divide both assets and liabilities in your divorce, which will impact your future in a variety of ways. Do you want to stay in your family’s home? Are you able to escape some debts that your soon-to-be ex-spouse brought into your marriage? Your goal is to obtain as many assets as you can while minimizing the amount of debt that you take on. You also need to be realistic about the expenses you can afford.
  • Your budget: Don’t assume that your budget will remain the same post-divorce. It’ll change in many ways, as your income and expenses will no longer be the same. Don’t wait until after your divorce is finalized to create a budget. Begin working on this as soon as you can.
  • Child support and alimony: You may be in line to receive one or both of these types of support following your divorce. Conversely, you may have to pay one or both. Either way, it’ll impact your financial future and budget. Understanding what is likely to happen post-divorce is key to good planning.

Once you’re on the right track with your thoughts and plans, you may feel more confident in your ability to maintain a sound financial footing while protecting your legal rights during the divorce process.