It’s no secret that divorces can be expensive. You’re splitting up assets in the middle of an emotional mess. The Street offers five tips to save money when getting a divorce.
- Wait to get a lawyer until you calm down. Getting a divorce is a very emotional experience. Before you make the important decision regarding who you will trust with the division of assets as well as leading the mediation of the split of your marriage, let yourself calm down a bit. Don’t make a rash decision on hiring a lawyer during the heat of the moment.
- Avoid a litigated divorce. A litigated divorce refers to a divorce where a judge is in charge making decisions regarding child support, visitation rights and the division of assets. If spouses can come to an agreement with heavy court involvement, more affordable options may be available. Options that may be available (and may be more affordable) include a flat-fee divorce, a collaborative divorce, arbitration or mediation.
- Review what your spouse is reporting. Review what your spouse is reporting financially to be sure that it’s accurate. What your spouse is reporting makes a huge difference in what you end up receiving or paying in the divorce settlement. Be sure to also be honest about your own income. Lying can lead to even more cost down the road.
- Close joint credit accounts. As soon as you know you’re splitting with your spouse, be sure to close all joint credit accounts. Otherwise you may be on the hook to pay for purchases made on your account even after you’re divorced. Change your online account passwords, and be sure to take your significant other off of your bank accounts.
- Create a budget for yourself. Once you become a one-income household, or go back to work for the first time in years, it may be difficult to adjust your lifestyle. Creating a personal budget helps divorcees from falling into debt, so long as they stick with it. Review monthly expenses and compare it to what you expect to be receiving as income every month. If it looks as if it will be a stretch to cover your bills, focus on what you can cut out in order to stay financially responsible.
Getting a divorce is a very different experience for every couple. But with some precautions and careful considerations, it can be a less expensive experience. We’re happy to discuss with you your options when considering a divorce in Texas. Contact the Pellerin Law Firm today.
Source: The Street, “Five Ways to Save Money During a Divorce,” David Bakke, March 6, 2013