Financial Recovery After a Divorce

Woman doing her finances

The loss associated with divorce is painful. You’ve lost your life partner, and now you’re left to pick up the pieces. Of course, this is not easy to do, especially after the breakup has had an impact on your finances.

If you’re looking for guidance on how to get back on track financially, we’re here to help. We understand that lifting the financial burdens that weigh you down after a divorce can be quite challenging, but it is doable. For starters, follow these 4 tips:

1. Create a new budget adjusted to your current financial situation

Two households are more expensive than one. Now that you’re the sole income earner of your new household, it’s important to rework your budget. You may even have to consider new obligations such as child support and alimony payments.

This may seem like a daunting, or even tedious, task, but it’s an essential step in financial recovery. Fortunately, there are tons of resources available to guide you. You can seek the help of a professional financial planner or check out this helpful article from NerdWallet.

2. List out your goals and have a plan

To help keep you accountable and achieve your goals, list your goals in a prioritized order. For example, your goals may be to pay off credit card debt, to having six months of your salary in savings, or a specific amount in your retirement accounts.

Once you’ve identified your goals, you can implement a financial plan while also keeping your new budge in mind.

3. Learn to live within your means

Your living situation and daily routines will likely change once your marriage ends, including your expenses. Be sure that your expenses are not more than your income. This may be a lifestyle change to you, but you can make minor adjustments to make it work. Attempt to cut out bad spending habits to eliminate wasteful expenses.

4. Don’t be afraid to seek assistance

As mentioned earlier, there are many resources available, and they are meant to help those who need it. Sometimes, our pride can get in the way of seeking assistance when it comes to financial matters, but it may be just the thing you need to get back on your feet.

Are you struggling to support yourself and your family? See if you qualify for government benefits. Are you unsure of where to start with your financial plan? Schedule a consultation with a financial advisor. Have you experienced a significant change that’s affecting your ability to pay child support or alimony or do you feel your spouse’s support payments are not adequate? You may have a basis to petition for modification of these orders.

Although financial recovery is a difficult journey, there are plenty of ways to find support.

We are here to help pave the way to a brighter tomorrow. Reach out to our Chicago family lawyers at (312) 487-2795 to schedule a consultation.

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