In the aftermath of divorce, single moms often become economically vulnerable. Dealing with finances after divorce can be scary when you can’t depend on your former partner for assistance.
As a result, here are seven tips on how to manage the stresses and anxieties while taking care of your finances after divorce.
Tips on How to Deal With Your Finances After Divorce
1. Get Advice From a Financial Professional
There are many financial professionals that can give you good advice on how to manage your finances. Listen to what they have to say and decide for yourself the best route you can take in terms of your investments and finances.
2. Develop a Budget to Manage Your Expenses
A budget will help you to pay your bills on time without running out of money. A budget will also help prevent you from spending your money on things that you do not need.
3. Stay Out of Debt
Pay off your credit card bills and try to get rid of your debts. This will help save you from paying all of that interest. There are also many credit counselors you can talk to that will help you develop a plan to get out of debt.
4. Plan For Emergencies
Put aside a small amount of money from your weekly paycheck into an emergency fund. The purpose of the emergency fund is to provide instant cash for sudden and unexpected events. When something happens, you will have something to fall back on.
5. Learn to Manage Your Spending
The more you spend on things that you do not need, the less money you will have for the future. There is nothing wrong with buying things that make you happy, but you do not want to spend money that you do not have. The key is to learn to manage your money wisely.
6. Have Some Kind of Health Insurance
It is recommended that you have health insurance in case you get sick. A person could lose a lot of money if something happens to their health and they don’t have any kind of insurance. Having car and home owner’s insurance is also recommended in case something happens unexpectedly.
7. Keep Your Job Skills and Experience Up to Date
You never know when you may lose your job. It is important to continuously update your skills and resume in case you need to look for another job. Applying for unemployment will help, but it will not last. Keep your job skills current so you can increase your chances of finding a good-paying job if you become unemployed.
Stan Popovich is the author of the popular managing fear book, A Layman’s Guide To Managing Fear (CreateSpace, 2003). www.managingfear.com