Tennessee Divorce Source: 9 Ways to Adjust Your Financial Life After a Divorce

Encyclopedia

Tennessee Info

Tennessee Divorce Start Your Divorce Find Professionals Tennessee Articles Divorce Facts Divorce Grounds Residency Divorce Laws Mediation/Counseling Divorce Process Legal Separation Annulments Property Division Alimony Child Custody Child Support Divorce Forms Process Service Grandparent Rights Forum Tennessee Products Divorce by County

Tennessee Articles

Custody & Visitation Divorce/General Financial Planning

Info Categories

Contemplating Divorce Children & Divorce Divorce, Dollars & Debt Divorce Laws Divorce Process Divorce Negotiation

More Information

Articles Checklists Research Center Cases of Interest Dictionary Encyclopedia Encyclopedia (pop-up) Blogs

For Professionals

Advertise With Us Free Network Page Join Our Network Submit Articles Sign In

Network Sites

Tennessee Divorce Support Tennessee Divorce Online

9 Ways to Adjust Your Financial Life After a Divorce

Information Provided by: Eric Berner, CDFA Waddell & Reed Advisor

Divorce has a high emotional impact on you. Your awareness of your financial position is extremely important at this cross road of your life. You want to be able to move forward with a solid footing for your financial future.

Assess Your Current Situation: Get a grip on your finances and figure out where you stand. You have less household income and perhaps have additional expenses that will not be shared any longer. Your lifestyle is likely to change. Be PROACTIVE here.
Budget/Spending Plan: Determine what your income is including: salary and wages, interest, dividends, any alimony or maintenance, child support. As for expenses, some are fixed like your mortgage or rent, food and transportation. Some others are more discretionary like movies, trips, wine tastings, etc. The discretionary expenses are the ones where you might have to make adjustments until you get use to your new “normal”.
Prioritize You Goals: Your goals are likely different now than while married. List the things that you want to accomplish such as retirement savings, educational goals for you and/or your children. Prioritize based on what YOU need and want. These probably look different than being part of a married couple.
Control Debt: Avoid the temptation of credit cards! Plan on how to diminish and eliminate the debt that you have. Find out which debts have the higher interest rates and try to pay those first. Avoid having to pay late fees. Pay more than minimum balances whenever possible.
Protect Your Credit: Your credit history might take a hit through a divorce. Review your credit report and check for errors. Will your name change on accounts? Are there joint accounts that have been or should be closed? You can check your credit report annually at AnnualCreditReport.com. Begin your own credit record with timely bill payments and minimal credit inquiries.
Review Insurance: Often, insurance is dealt with in a divorce settlement. Make sure you have adequate insurance for health, life, disability and long term care. Review your homeowners and auto insurance coverages. Sometimes a change in marital status may cause a need for rewriting.
Change Your Beneficiaries: You may be required on some accounts or policies within the divorce settlement. For others, make sure you change power of attorney, trustee, and personal representative on any estate planning documents that you don’t still wish your ex-spouse to be named on. Consult with an attorney on all legal documents.
Tax Implications: Your income tax filing status, deductions and other items are most likely to be different for you now. You may have alimony or child support income which could impact your return. Your dependency exemptions could also change. Check with your tax professional to understand your new circumstances.
Consult a Financial Professional: A financial professional can help you focus on a plan personalized for you that addresses your goals and dreams, make suitable recommendations and help you observe and make adjustments to your plan.

This article is for informational purposes only and should not be construed as investment or financial advice related to your personal situation. Please consult your financial advisor prior to making financial decisions.

Eric Berner, CDFA is a Financial Advisor with Waddell & Reed, Inc. in Nashville, TN. Eric is securities licensed in AL, CA, KY, TN, and NE. He also holds Health, Life and Variable Insurance licenses in KY and TN. He can be reached at 615.399.0128 or via email at [email protected] Waddell & Reed, Inc. Member SIPC (03/14)

Information Provided by: Eric Berner, CDFA Waddell & Reed Advisor

Was this helpful? Like our site & let us know.

5 Most Common Money Mistakes In Divorce

5 Hidden Costs of Keeping the House After Divorce

10 Hidden Costs of Keeping the House After Divorce

10 Tips to Control Legal Fees During Divorce

Tax Traps to Avoid During Divorce

Start Your Tennessee Online Divorce Today

Easy, Fast and Affordable with a 100% Guarantee.

Find Tennessee Divorce Professionals in Your Area:

Join the Network

Tennessee Divorce Products, Services and Solutions

Tennessee Divorce Resources to Help You Through the Process.

Tennessee Mandatory Online Parenting Class

Easy and convenient - complete at your own pace online.

Discount Divorce Bookstore

Over 100 Titles of the Best Books on Divorce & Custody.

Divorce Download Center

Instantly Download, Books, Manuals, & Forms.

Free Tennessee Divorce Worksheet & Separation Agreement

Your Guide to Get Organized and Put Everything in Writing.

The grounds to file a complaint for a legal separation are the same as for a divorce. The court can address child custody, visitation, support, and property issues during legal separation upon motion by either party or by agreement of the parties. The court has the power to grant an absolute divorce to either party if there has been an order of legal separation for more than two years, the parties have not reconciled, and either party files a petition for an absolute divorce.

Find Professionals

Easily Connect With a Lawyer or Mediator

Have Divorce Professionals from Your Area Contact You!

Start Your Divorce

Settle Your Divorce

Support Forum

Start Your Divorce Today
(Explore your options)