One of the biggest financial decisions you can make is getting married. However, after a divorce, it may be confusing to figure out how to move on financially and what steps to take. If you are considering getting a Sandy divorce lawyer, talk to a divorce lawyer today and get the best legal help.
How can divorce affect your finances?
Divorce, in itself, is a very expensive decision. If you cannot properly manage your finances after divorce, it can cause even more financial losses. According to some surveys, the average cost of getting a divorce is around $15,000. This can include attorney fees, court fees, mediation, etc. However, if you are fighting custody battles, the cost can go up to as much as $100,000. Divorce can also result in a decrease in the net household income.
Some financial steps you should take after divorce
Here are some steps you should take after a divorce to stay on top of your finances:
-
Take inventory
Take inventory of all your assets and liabilities. Keep an organized list of your property, liquid assets, credit card debt, and anything else you may have.
-
Calculate your net worth
After taking note of your assets and liabilities, calculate your new net worth. Your net worth is the difference between your assets and liabilities, and tracking your net worth regularly and consistently is a good financial habit. However, your net worth will probably change after a divorce, and you will need to calculate your new net worth.
-
Create a new budget
After a divorce, your household income and expenses will change. You should create a new monthly budget to document your monthly income and expenditures.
-
Reduce expenses
Your household income will probably decrease after your divorce, so it is a good idea to reduce expenses as much as possible. Eliminate any expenses that are not necessary.
-
Close your joint credit accounts
After a divorce, you may want to close all your joint credit accounts with your spouse and establish credit in your own name.
-
Get help if you need it.
It is normal to be confused or not know what to do after a divorce. But you do not have to deal with everything on your own. If you are having trouble managing your finances, do not be afraid to ask for help.
Are you and your spouse considering a divorce?
Do not waste time if you and your spouse are considering a divorce. Reach out to an experienced divorce attorney today and figure out how to deal with your post-divorce finances.
