When you and your spouse call it quits and begin pursuing a divorce, the divorce will affect both of you in many different ways. You may experience emotional consequences from this, and you will also experience financial effects. Understanding the financial effects of a divorce can help you plan for them, and this is important to help make your life easier and less stressful and challenging afterward. Here are several financial effects to know about and begin planning for right away.
You will have one income instead of two to pay for the household
One of the most challenging financial aspects of a divorce is going from a two-income household to a one-income household, and this often means moving to a smaller home or apartment. While this may only be temporary, it can be a good idea, especially if you are not used to supporting yourself. Paying all your bills by yourself can be a lot different and difficult than paying bills with two incomes.
You may not get to claim your kids on your taxes
Another financial aspect to know is that you may or may not get to claim your kids on your tax returns from this point on. The first tax return you file after a divorce may require filing jointly, but after that you will have to file on your own. It is important to work out the details of claiming the kids on taxes when you settle your divorce, simply so that you know who has the legal right to do this each year.
You may end up with debts to pay
You should also realize that after your divorce you might end up with debts that you owe. In a divorce, couples will often split their debts evenly between them, and you should plan to have to do this if you owe any money on debt.
You may have to use your savings
If you currently have money in a savings account, you should also realize that you might have to use this money to pay your debts, legal fees, or other expenses you encounter during this time. In other words, you might not have a savings account any longer after you get divorced, so you should plan accordingly for this.
These are just some of the financial effects a divorce can have. If you plan accordingly, though, you might be able to get through the divorce and life afterwards without any major problems. To learn more, talk to a divorce lawyer about your case.Share
21 August 2019
Adopting a child is a wonderful way to bring a child into your family and give a child that needs a home a loving environment to grow up in. Unfortunately, the adoption process is not easy to get through. If you fail to file one document, the adoption can be set back by months. This blog will show you what to expect as you work your way thorough the adoption process and give you a few ideas of the things that you should leave up to your family attorney. Hopefully, what I have learned through my two adoptions will help you get through yours with no issues.