Sometimes, divorce is the only option for married couples in Illinois who can’t work things out. A divorce can bring about many life-related changes, especially those involving finances. Fortunately, knowing a few tips can help your financial situation remain stable during a divorce.
Start moving assets to separate accounts
Separating your assets immediately from your ex-spouse’s accounts is important during a divorce. During this process, you’ll quickly understand your financial situation. For instance, opening new lines of credit can help you establish a credit history in your name if advisable. You’ll also help prevent your former spouse from accessing your money.
Get a clear understanding of your bills
Many married couples have one person responsible for paying bills and other liabilities. If this wasn’t you in your marriage, it’s possible to have no idea how much bills will cost post-divorce. Adding up your monthly bills lets you know how much money you need to get by. Now’s the time to add up your typical expenses, including things like:
- Mortgage or rent payment
- Car payment, if applicable
- Insurance expenses
- Electricity, water and heating bills
Update your estate plan
While going through a high-asset divorce, worrying about immediate financial concerns is understandable. It’s just as important to consider your long-term financial future by updating your estate plan. Removing your ex-spouse from estate plan-related documents ensures they don’t receive your assets if something happens to you.
Going through a divorce is an understandably difficult time. Fortunately, you can help make the post-divorce process more manageable by taking care of your finances now. If not, your financial situation could cause a lot of unwanted surprises.
