Top

Maintaining Financial Independence in Divorce

financial freedom

While there are always several different angles to look at in a divorce, the accusations of who slept with whom and who did what when don't carry as much weight in a modern divorce as they might have in the past. A modern divorce, according to CBS News, is about the money. “Both spouse's income and assets are—or should be—on the table.” But CBS warns that both parties in a marriage, especially one that's dissolving, might not be privy to the other's finances, and might not even now where to look. “They might not even realize how much less they're worth, due to the squeeze on incomes and the housing depression,” states CBS News.

The conventional knowledge is that the divorce rate falls during tough economic times because people can't afford to split. But for many people it's worth a financial hit to end a bad marriage; it's not as if divorces stop completely during an economic downturn. CBS News has several tips to keep your finances somewhat in order during a divorce, no matter the economic climate.

The first is to “follow the money.” Snoop around if you don't know your partner's finances, and make copies of bank accounts, insurance policies, payroll and retirement plan statements, mortgage statements, etc. Get copies of tax returns and credit reports. This is especially important if your spouse was the main breadwinner. The next important piece of advice to “protect your flanks.” This could mean freezing a joint home-equity line or credit cards so that your spouse isnt tempted to run up debt. If you suspect that divorce is in the works, open a private credit card that your spouse doesnt have access to. It's important to make steps to be financially independent even before a divorce is finalized.

Figuring out your finances is just one of the many complicated steps you'll have to take if undergoing a divorce. Don't go through it alone. Contact a dedicated Naperville divorce attorney today.

Categories: 
Related Posts
  • How To Protect Assets in Divorce Read More
  • Getting Divorced? Here is How You Should Handle Things at Work Read More
  • Are Babyboomers Still Pushing Up Divorce Rates? Read More
/