Divorce is a challenging and emotionally draining process, not least because you may suddenly find yourself having to deal with your household finances when that may have been left to your spouse throughout your marriage. It is, therefore, essential to stabilise your financial situation ASAP by having good financial management. You can then emerge on a strong footing post-divorce.
- Understand your financial situation.
Before making any decisions, it is crucial to have a clear understanding of your financial situation. Gather all relevant financial documents, including bank statements, tax returns, mortgage documents, and investment records. This will help you assess your assets, liabilities, income, and expenses accurately.
- Create a budget
Developing a budget is essential to manage your finances effectively. List all your income sources from employment, investments, or potential future payments from your spouse. Then, itemise your expenses, including housing, utilities, groceries, transportation, and any other regular payments. This will give you a clear picture of your financial obligations and help you identify areas where you can cut back if necessary.
- Seek professional advice
Consulting a solicitor who specialises in
family law and divorce is crucial to obtaining a fair financial settlement. A family law solicitor can provide expert guidance on your financial position, helping you to understand your rights and obligations, negotiate a fair settlement, and protect your financial interests.
In the event that you obtain a large financial settlement following a divorce or are due to receive ongoing spousal maintenance payments, it may be worth asking your solicitor to refer you to a Financial Advisor. This will encourage you to develop financial goals and short–, medium and long-term plans to achieve them.
- Obtain a Financial Consent Order
It’s important to remember that your financial settlement must be set out within a Court Order and approved by the court for it to be legally binding. Without a
Financial Order in place, it may be possible for your ex-spouse to make a financial claim against you at any point unless they re-marry.
- Separate your finances
During the
divorce process, you should seek advice about separating your finances from your spouse and consideration should be given to opening an individual bank accounts, so to transfer your income and assets accordingly. This will protect your interests.
- Seek emotional support
Divorce can take an emotional toll on individuals. It is crucial to seek emotional support from friends, family, or even professional counsellors. Emotional well-being is closely tied to financial resilience, so taking care of your mental health is equally important.
Maintaining financial resilience during and after divorce requires careful planning and proactive financial management. For advice about dealing with financial matters upon divorce, contact
Anthony Jones, a family law solicitor and director at O’Donnell Solicitors, on 01457761883 or email
anthony@odonnellsolicitors.co.uk.
