Start Now for a Fair Financial Split from Your Spouse

Financial disagreements are one of the biggest problems during divorce.

Even if you are just thinking about divorce, maybe in an abstract way, there’s no time to lose. Sixty-six percent of divorces are initiated by women, yet on average women earn 25% less than men over a lifetime. That means women tend to lose out during and after divorce. They also live longer, which means women need more money to last.

To make sure of your financial future after divorce, it’s best to start now — even if the idea is just a thought. Here are some steps to take:

• Understand the finances. If your spouse manages the money and pays the bills, make sure you know which bills and when. Make sure you have access to all the accounts. If you decide to divorce, you’ll need a lot of financial documentation and it’s much easier to get that if your name is on everything. Knowing about your monthly budget will also make it harder for your spouse to hide assets. If you think your spouse may be hiding assets now, consider hiring help.
• Consider working outside the home if you don’t already. While alimony used to be a way for women to continue on in a world where women didn’t work, things have changed. These days, most women find themselves looking for a job after divorce. If you do not want to start now, then add some marketable skills to your resume by taking a class or two and volunteering.
• Speak to a Certified Divorce Financial Analyst. He or she can help with:
  • Personal vs. marital property
  • Valuing and dividing property
  • Retirement assets and pensions
  • Spousal and child support
  • Splitting the house
  • Tax problems and solutions
  • Expert witness testimony
  • Tax law and financial issues affecting divorce
• Start saving. Divorce costs plenty, from the attorney’s bill to the court fees. You may also need to have money for apartment rent and bills at this new home, for example. Here are some other ways to prepare now for divorce.  
• Wondering about retirement? Read our post on avoiding pitfalls when dividing up retirement accounts.

Whether you’re just thinking about divorce or are ready to move forward, come find out what you need to know from volunteer professionals at our monthly divorce workshop.