Divorce can be an overwhelming experience and, with so many heightened emotions thrown into the mix, this process can become a perfect storm for mistakes to occur, especially when it comes to finances. If you want to ensure the next chapter of your new life starts off right, you will want to do everything you can to avoid these missteps.
Do Not Make These Financial Mistakes!
Some of the worst mistakes a person can make while dissolving their marriage relate to their finances and, unfortunately, this can have a profoundly negative impact on their future.
Here are some financial mistakes you should avoid making during your divorce:
- Underestimating your future living expenses: One of the most important things you can do is create a realistic monthly budget. Without your spouse, your spending abilities are going to be a little different, so it is important to anticipate your future needs.
- Thinking the custodial parent should keep the family home: Determining who gets the family home is a deeply emotional decision, especially when children are involved. Even if you are the custodial parent, however, you may not necessarily want to keep your home. Set your sentimental attachments aside and consider the financial implications of keeping the family home.
- Misunderstanding your liability for unsecured debt: Unsecured debt for most usually means consumer credit card debt. If these debts were incurred during the marriage they become a shared liability, regardless of which spouse charged the debts or whose name was on the credit card. No matter who is responsible for which debts, creditors can still come after both of you for payments, so it is always best to pay off all debts before finalizing a divorce.
- Engaging in retail therapy: Sure, you are going through a hard time and will probably do anything to feel a little instant joy, but now is not the time to spend on unnecessary items simply to push some of your divorce blues away.
Your financial situation will be different after a divorce, so it is important to remember the big picture when planning your future.
Discuss the Details of Your Case with One of Our Experienced Family Law Attorneys Today!
If you are getting a divorce, it is crucial to have the assistance of a knowledgeable divorce attorney to guide you through the process. At Ford & Friedman, our team will work tirelessly on your behalf to obtain the best results for your case.
Call our law office today at (702) 904-9898 to schedule a consultation with one of our attorneys.