Going through a divorce is emotionally painful - but does it have to be financially devastating?
Not necessarily.
Here’s how you can help yourself:
For starters, before the divorce is finalized, determine how you’ll cover the costs of any litigation and attorneys’ fees.
Also, consult with your divorce attorney about establishing independent financial accounts at banks or brokerage firms.
And learn the value of your and your spouse’s 401(k)s and IRAs.
A financial professional can suggest ways of splitting these benefits.
After the divorce is final, finish building your financial accounts.
You might want to close any joint accounts or credit cards you have with your former spouse.
Review your life, auto, and homeowners insurance policies.
And if you were on your spouse’s health insurance, you may continue under COBRA, or you may need to sign up for your employer’s plan, if one is offered.
Finally, consult with your estate-planning attorney and tax advisor to determine whether changes need to be made to your estate plans and tax filings.
Divorce is tough - but by taking the appropriate steps, you can help move to a more secure and stable financial position for the next phase of your life.
This article was written by Edward Jones for use by your local Edward Jones Financial Advisor John Dickerson and Hawes Dickerson. Members SIPC.
