Getting divorced is never easy, especially when kids are involved. First and foremost, you will be hoping to protect your children through this process. And while money isn’t the most important thing in this world, managing your finances at this time is essential.
The harsh reality is that the transition will probably take a toll on your finances. If you follow the steps below, though, you can keep your head afloat. In turn, this should help you keep a roof over your heads and ensure that the kids won’t miss out on the things they deserve.
Reduce Your Divorce Costs
Couples that split without being married can often do it without the need for lawyers. When dealing with divorce, though, it will cost money as the separation must be formally confirmed. Likewise, the fact that you were married changes a lot in terms of how assets are distributed.
So, even when you have split amicably for the sake of your children, legal help is needed. It may be possible to reduce legal costs by using the same lawyer in a “one couple, one lawyer” split. Meanwhile, if you are able to reach agreements in theory before starting the legal process, this can help.
The last thing you need is a long and drawn-out legal battle to ruin your finances.
Get The Right Outcomes
Saving money during the legal process is one thing. However, you must also consider the financial outcomes of the divorce. You owe it to yourself to gain a fair outcome for yourself, not least if you will be the primary caregiver of your children.
The outcome of the family home will be particularly important. Experts like Hale and Hawthorn can help with ID1 land registry forms to manage equity transfers. It is a key part of the legal and financial process following a divorce where you were joint homeowners. Aside from this, you must consider assets like vehicles too.
Arranging child support for the primary caregiver is another priority at this time.
Reduce Financial Waste
Even if you reach a positive outcome from the divorce itself, your ongoing financial health may suffer. The best way to reduce some of the pressure is to actively cut down on your financial waste. The sooner you do, the less damage you will encounter.
Even if you think you’re quite frugal, there’s always room for improvement. It may be possible to reduce your phone bill, TV package, or utilities by negotiating with suppliers. Or you could switch to new providers. In many cases, subscription services can be lost while habitual changes like turning appliances off will help.
Ensuring that your food purchases reflect the smaller household is another crucial factor.
Secure Financial Support
You can certainly help yourself by reducing your financial waste and making money work harder. However, you should also actively seek financial support. It is out there, especially for single parents. But only you can reach out for it.
Financial support may come courtesy of grants, Universal Credit, or benefits. Even if you don’t qualify for financial aid, you are due credits such as a 25% reduction on your Council Tax. In many cases, financial support can be backdated at least for a little time. However, the earlier you make an application, the better.
The helping hand can make all the difference, and remove a great deal of stress.
Earn Extra Money
Divorce changes the dynamics of your entire lifestyle. In some situations, it may even impact your employment. Even if your work life is undisrupted, a little extra income would be gratefully received. You should grab any opportunity to do this.
There are many ways to earn a little money from home. Joining a freelancer directory like UpWork can be particularly useful. It is an opportunity to monetise your creative skills in a way that feels convenient to you. Even if you only manage a few hours per week, it is better than nothing. Or you could sell some creations.
Alternatively, local options like babysitting or painting nails could be useful.
Stay Organised
Finally, it’s hard to truly know if your finances are in good health if you fail to proactively organise them. Regardless of what condition they are, knowing where things stand helps you plot the next steps more confidently. And it can prevent you from making costly mistakes.
Making a simple spreadsheet to track income and outgoings is essential. Meanwhile, automating payments to prevent late fees and other unnecessary costs serves you well. It is also necessary to create a strategy for clearing any debts you may have. This could mean using the snowball effect or clearing a high-interest account first.
Get your finances under control, and you can put more energy on parenting at this testing time.
