Financial planning tips to protect your money during a divorce
Going through a divorce is a challenging time. Often, it is the woman who is left financially struggling afterward. It is not uncommon for their credit scores to take a dive, further complicating the process. But, with the right plan, women like you can protect your money.
How women can protect their money during a divorce
Having a financial plan in place can help you protect your money during and following a divorce and achieve a position of financial independence, despite the obstacles you face. You can protect your money during a divorce by:
- Building a team — Being single does not mean you are alone. You can build up a team to help support you through your divorce and protect your finances. First, you should hire a divorce attorney. They can help you negotiate disputes rather than leaving it up to the court. You should also work with a financial advisor who can help you manage your assets, protect your money and develop a financial strategy for your future. An accountant can provide tax advice.
- Identifying your assets — You need to know how much money you have and what is in your name, as well as what is in your spouse’s name. Some of this might be shared, such as a mortgage, bank account or retirement account. You also need to consider your liquid assets, such as property and possessions that are in your name. Being able to clearly identify what is yours can help you be proactive in keeping what is yours when going through a divorce.
- Opening accounts in your name — If you do not already have your own bank or credit account, you need to open one in your name. This is beneficial for building your own credit for any future loans or mortgages you might need to take out. It also helps keep your former spouse from accessing your money and appropriating it as theirs. Also, be sure to cancel credit cards with joint responsibility.
- Sorting out your mortgage and rent — It might seem cold, but mortgage companies and landlords are typically indifferent to the plights of a divorce. Lenders expect payments to be made on time regardless of what is going on in your personal life. You and your former spouse need to reach an arrangement about who is staying, who is leaving and how to share the responsibility of paying for the home. In many cases, it makes the most sense to sell it and start a new home in your own name.
Protect your money during a divorce with the help of a ProVise financial advisor
There is no cookie cutter plan for getting through a divorce and protecting your finances. Women who work versus stay-at-home moms need different strategies to help them come out on the other side of the divorce with financial security. At ProVise Management Group, our CERTIFIED FINANCIAL PLANNER™ professionals can help you make the right investment decisions.
Many of our team members are independent women who know the specific challenges women face in the fiduciary landscape. We are here to help you navigate through your divorce and other financial challenges you may face in life. We get to know you, your current circumstances, your personal values and your long-term goals to draft a financial strategy that gets you through moments like a divorce and whatever else life may throw at you.
We create all of our personalized financial plans at a fiduciary standard of care. We also offer an unconditional money-back guarantee if you are unhappy with your written plan. Simply return it to us and we will refund 100% of the fee paid.
Are you ready to talk to a ProVise financial advisor about joining your team and helping you protect your money during a divorce? Contact ProVise today to schedule a complimentary consultation.