Very few people get married with the idea of divorce already on their minds. Unfortunately, this frequently leads to the dodging of difficult conversations, the trust in your partner assumed. Specifically, many conversations around money are often left unspoken as they can be triggers for arguments or a cause of stress within a relationship.
The overwhelming impact of this is that women can find themselves in a position with limited financial tools or knowledge, which often leads to situations of debt and economic struggling. Plus, as it tends to be the woman in a divorce who gets custody of the kids, the shift to supporting your family on a single salary can be a great shock.
Live Within Your Means
Yes, child support is often an essential lifeline for newly single mothers when preparing their budgets. But, it’s vitally important to try and only consider the assets that are currently available to you – not those which may be on the horizon. For this reason, downscaling your life and investing part of your divorce settlement can be a wise move – building your assets and empowering your finances.
Reaching a state of financial empowerment will bring you a sense of security, power, and contentment that can transform how you navigate this world. When conducting post-divorce financial planning, it is easy to feel drawn towards the sentimental; but this can ultimately lead us to live outside our means. Whether it’s a house you’ve called home but can longer afford or even a lavish lifestyle that you’re accustomed to, an element of adjustment is crucial.
Downsize Your Home
Life after divorce for women means you will likely be losing at least half of your income. But, for a stay-at-home mom getting a divorce, the situation can feel a lot more daunting. So, sacrificing an expensive house for an option within your budget is of the utmost importance to keep your head above water and stop excess debt from creeping in.
Update Your Accounts
As mundane as it may be, updating your accounts is a vital step in helping you to reach financial independence. If your name has changed as a result of your divorce, then you’ll need a whole host of new cards, documents, and accounts. Getting this done as quickly as possible will not only boost your economic independence but your emotional independence too, as you reconstruct your identity in this new chapter.
Don’t settle for staying for fear of financial losses. There are countless resources out there to help you with divorce planning, and a divorce financial planner could be advantageous too. Our team is here with compassion, resources, and referrals to guide you in your journey. Visit our Free Resources page to download our free Divorce Explained E-Book or call us at 972-838-1181 to chat about the process.