How to Get Financially Prepared for Divorce
One of the best ways to set yourself up for a relatively smooth divorce process is to be proactive about handling financial issues. In the divorce process you will have to make a lot of financial disclosures, and will need to have a strong understanding of your current financial situation. The more organized you can get yourself, the better off you’ll be in the divorce process.
Here are a few financial tips that will help you through:
- Track your expenses: The best place to start is getting a clear sense of how much you’re spending each month. List out all of your household expenses, including the ones you expect to carry over after your divorce. This will help you create a post-divorce budget that will guide you in your divorce negotiations.
- Collect documents: Gather as much documentation of your financial situation as you can. Begin with statements for checking and savings accounts, retirement accounts, investment accounts and credit cards. You should also collect loan documents, income tax returns, lists of assets and debts you brought into the marriage (and those accumulated during your marriage) and some recent pay stubs.
- Keep the status quo: Avoid making any big financial decisions or changes until your divorce is finalized and you have a better sense of what your financial situation is going to be moving forward. Some of the changes you might make (such as changing beneficiaries) will be handled during the legal proceedings anyway. Stay conservative with spending and saving—things may be tight for a bit coming out of the divorce.
- Get help: Work with an attorney and financial professionals who can provide you with key advice and resources as you work your way through the divorce process.
For more information about getting your finances in order before a divorce, contact an experienced attorney at Jakubowski, Robertson, Maffei, Goldsmith & Tartaglia LLP.