You are getting a divorce and trying to maintain your financial stability. Your husband is well off, and you are wondering how you are going to keep up your lifestyle post-divorce. Even with child support and alimony, it can seem daunting to figure out. Although it may seem complicated and stressful, there are steps you can take to secure your financial future.
By updating accounts, creating a budget and building credit, you can be successful and single. Keep reading for details on these tips.
1. Update your accounts
Financial housekeeping after divorce is crucial. Update the beneficiaries listed on any of your retirement accounts or life insurance plans. If you change your name, you will also need to get a new credit card, driver’s license and Social Security card. You must also notify your banks, insurance companies and credit card companies of any address or name changes.
2. Create a budget
Now that you will not be sharing living expenses with your husband, you need to make a new personal budget for your expenses and income. First, list all sources of personal income, including any second jobs or freelance work. The key here is to subtract any child support or alimony payments so that you do not have to completely rely on them. Then, list your set and fluctuating expenses and see if there is anything you can afford to let go.
3. Build your credit
You will not have any shared credit cards with your husband anymore, so you need to make sure you have a good credit score by yourself. Use your credit cards frequently and pay more than the minimum payment early when possible. This will help you qualify for new loans and move forward from the divorce.
If you plan ahead, you can survive the financial impact of your divorce and come out on top.