Divorce is hard on everyone involved. It means everything has to change. Of particular concern will be how the divorce affects your children, (if you have any), and how you will manage financially.
After all, whatever income you and your partner currently have runs your household. That same income will now need to run two households.
Ultimately, your finances will be completely separate. This can be particularly hard if one partner is earning less and they have custody of the children while paying household bills. That’s why the other parent will need to pay maintenance.
Get Professional Help
The best approach is to look at your financial arrangements together. A good divorce lawyer Sydney can be instrumental in allowing you to objectively look at the money involved and how it can be fairly allocated to ensure both partners have a good financial base for the future.
It’s worth remembering that, for whatever reason your marriage is ending, you did love each other. Keeping that in mind will help you treat each other respectfully and allow you to see splitting the money and assets is simply a part of terminating the relationship. It’s not personal.
Create A Budget
You’re going to need to look at your outgoings. It doesn’t matter if you’re staying in the family home or moving on, you’ll have an array of bills that need to be paid. Against this, you’ll have your income and the funds you receive in the divorce.
By listing everything you’ll be able to see if you can afford to continue as you are or if you’re better off making changes.
Naturally, this is a good time to minimize your monthly outgoings and get rid of anything you don’t need. Don’t forget, divorce is generally expensive. Not only will you and your partner need to clear joint debts, but you’ll also have to pay the legal bills associated with the divorce.
Set Yourself Goals
With a new budget in mind, you’ll be able to set your financial goals for the future. It could be to clear the mortgage, to save for your children’s education, or simply to put a specific amount aside every month for the future.
Defining your financial goals helps you focus on what is important and work out how you can get there. It will also help to highlight whether your current job is enough to support you or whether you should be looking for different income options.
Your goals should include creating an emergency fund that will help you to avoid financial stress when things go wrong.
Start Straight Away
The key to creating a solid financial future after a divorce is to create your plan and put it into action straight away. This will help you to feel confident about the future. Of course, any financial plan can be tweaked as your circumstances change. But, if you’re hoping to save money make sure you do it as soon as you’re paid. You won’t notice the money disappearing and saving will become automatic.