4 Ways to Manage Your Finances After Divorce

 Posted on November 27, 2018 in Family Law

Divorce is financially stressful in virtually all cases. Many American families rely on two incomes to make ends meet. When you divorce, your income is reduced to your income alone, which can mean big changes for your lifestyle. In addition to having your income reduced, your expenses also tend to increase.

It is not impossible to achieve financial security after your divorce, but it can be difficult without taking the proper steps. Here are five ways you can take care of your finances after your Illinois divorce:

1. Take Inventory of Your Finances

When you are married, your finances become intertwined. The first thing you should do after your divorce is to take an inventory of your assets, liabilities, income and expenses. This will help you know where you stand when you move on to step two.

2. Make Updates to Your Budget

Your budget might have been one thing when you were married, but chances are it is completely different now that you are divorced. You will have to budget for your expenses (that may be higher than when you were married) keeping in mind you will only be budgeting with one source of income, rather than two.

3. Live Within Your New Means

Creating a new budget after your divorce may mean that your standard of living has changed. Many people find that they cannot do as much frivolous spending as they did when they were married. Your budget should determine how much you are able to spend on non-necessity items each month.

4. Examine Your Future Goals

You should always be looking toward the future, and your finances are no exception. Now that you are divorced, your financial goals have likely changed. Did you have a plan for retirement before you got divorced? What are your new retirement goals, and how will you make them happen? How much do you need to save each month in order to create a safety net for your new life?

Get Help From a Hinsdale, IL Divorce Lawyer

One of the best ways you can manage your post-divorce finances is by getting help from a tenacious DuPage County property division attorney who can help you examine your finances. At the Law Office of Martoccio & Martoccio, our knowledgeable lawyers can help you determine whether you are likely to receive spousal support, and they can also help you divide up your current marital assets and debts.

Your finances after divorce depend on how well your property division was handled. Call our office today at 630-920-8855 to set up a free consultation.

Sources:

https://www.discover.com/online-banking/banking-topics/managing-finances-after-a-divorce/

https://www.entrepreneur.com/article/307592

http://time.com/money/4041567/steps-financial-recovery-divorce-tips/