The end of a marriage is a time of transition, when both spouses will spend a great deal of time and effort setting up separate households. Part of that process involves re-examining one’s budget to determine what changes should be made to ensure financial stability. Divorce involves a division of resources, and often a significant reduction in one’s household income. Unfortunately, however, the costs associated with setting up an Arizona household will remain largely the same.
Budgeting is an important part of post-divorce life. Individuals should thoroughly assess their income, assets and debt, and should also rethink their financial goals for the years to come. Understanding what is being brought in and what must be paid out is critical to establishing a solid financial foundation.
Even though the budget may be tight, it is critical to create a savings plan to set aside funds for future expenses. No matter how small a portion of income is set aside, the end result can be significant. One way to bolster savings is to carefully consider each and every purchase made in the months that follow a divorce. Being mindful of spending is a great way to gain control over one’s finances.
With the right degree of motivation and effort, Arizona spouses can have a significant impact on their financial stability. Budgeting and implementing a savings plan are important components of that process. The choices made both during and immediately following a divorce will have a lasting impact, and savvy spouses will make well-informed decisions that support their own interests.
Source: khou.com, “9 things you should do after a divorce to save your finances”, Janet Berry-Johnson, Jan. 19, 2017