Protecting What Matters Most

Tips for staying solvent after a divorce

Individuals in New York who are going through a divorce will need to prepare for a new financial reality after the marriage officially ends. Ideally, a divorced person will create a budget that reflects his or her current circumstances. It is a good idea to consider creating an emergency fund as well as an individual brokerage account. Those who are having a hard time adjusting to life as a single person may want to include money for therapy in their budget.

Those who are living on their own may want to either get a job or stay in the position that they have. It may also be necessary to consider delaying retirement or finding part-time work after retiring in an effort to obtain long-term financial security. Getting a job can make it easier for those who are under the age of 65 to gain access to an affordable health care plan.

Spouses who stayed home to raise children or to run the household while the other spouse worked could be entitled to compensation for their efforts. If a couple owned a home at the time of the divorce, it may be a good idea to sell it and split the proceeds. While a person has the right to ask to keep it in the divorce settlement, it may not be the fiscally sound thing to do.

Individuals who are going through a high asset divorce may want to include an attorney as part of their divorce teams. An attorney may be able to help a person draft a qualified domestic relations order (QDRO) or take other steps to ensure an individual obtains a favorable and equitable settlement. Legal counsel may represent a person whether a divorce is settled in court or through alternative resolution methods.