Going through a divorce will shake up anyone’s financial situation. More often than not, you will be left with a little less money and there will be a change to what your lifestyle was before. Here’s 5 Ways to Manage Your Finances During a Divorce.
The best way to deal with this change in financial status is to budget, how your new lifestyle will be managed.
Here is a list of FIVE things you should note when budgeting through your divorce.
1. List your current income and expenses
This will include any spousal and child support you may receive or have to pay out.
2. Compare your expenses to your income
When you look at your expenses and notice that there is an imbalance, it is time you re-evaluate how you are spending your money. Look into getting lower rates on your debt repayments and other unnecessary expenses you do not really need.
3. Note your needs and wants
Without a second steady source of income, your priorities will take a major turn and you might now find that the things that you might WANT will have to be put on the back burner for now.
4. Avoid acquiring new debts and stay on budget
Don’t be tempted to open new accounts that will further put stress on your current financial situation. Stick to your new budget at all costs so that you can get rid of your debts as soon as possible.
5. If needed, look for new sources of income
If you really are in need of extra money try doing something extra you are good at, like offering a service or providing a product for that added income each month.
Once you get the hang of no second income for a little while, you will be able to better gauge how to deal with your finances and you will notice that it might become slightly easier to deal with. Hang in there, divorce is hard, but your situation will improve and you can be happy!