Divorce is not a fun process, but sometimes a necessary one. To some, thinking of money concerns after divorce are obvious, to others a small worry, and to many not even considered. This article can help you plan financially before your divorce begins.
Unfortunately, though it’s legally required, child support is paid about half the time, and half of that is full payment. You or your spouse need to understand the children come first, no matter the reasons for the divorce. If you have custody of the children, come to an agreement with your spouse. If you are paying the child support, make sure it’s paid in full.
Now, before you start breaking away from your spouse, you should also be aware of your property rights. Just like child support, it’s not always considered. If you ignore the division of property, it can cost you a lot of money and assets you have rights to. Because state laws are different on how to handle the division of property, you should contact an attorney.
Here’s another important financial tip: you have more than property – you also have credit cards and bank accounts. Close all your joint accounts, get your own checking account, and also get your own credit cards. While it doesn’t always happen, it can be a nightmare if your spouse charges up your joint accounts. In order to be sure you find them all – as you might have other accounts such as store credit cards – you can get your credit report.
What assets do you have?
Also be aware of all your assets. This includes your house, properties, and cars, but also retirement packages, stocks, tax refunds, loans, artwork, and many other items you bought together.
Hiring a Divorce Lawyer
While your divorce lawyer is essential in making sure your rights are protected, you may also want to hire a financial planner to go over all your assets and incomes. Sometimes you may even want to get a mediator instead of going to divorce court and fighting it out. If you go to court with many disagreements with your spouse, it can cost you plenty of money, not to mention create some headaches.
It’s a misconception often that the wife always gets the kids, or that the husband will make more money. These are slowly changing. However, it’s not uncommon for one spouse to manage most of the finances, if not be the only one who works full-time. You should protect yourself in either case, making sure your agreements for property, bank accounts, and credit lines are changed. You need to protect yourself from your spouse’s debts and hurting your own credit report.