Financial loss is common during and immediately following a divorce. Men in particular have a difficult time recovering financially from a prolonged divorce. Though many studies have focused on how long women stay in poverty after divorce, research has shown that men take longer to rebound after a divorce. After having every aspect of your personal and professional life exposed before a judge during a divorce, continued financial trouble is hard to adjust to. Fortunately, there are ways to return to your previous standard of living after a divorce with the help of post-divorce financial recovery goals.
Live Within Your Means
Men who are divorced typically experience up to a 40% reduction in their standard of living. The reduction is attributed to financial burdens caused by child support and alimony that men are more likely to be ordered to pay. Adjusting your spending to reflect your new standard of living is one of the first steps to take when working towards financial recovery. Unless you are able to immediately increase your income by 30% or greater it is unlikely that you are going to be able to maintain your current lifestyle without creating additional financial problems for yourself.
Talk to a Financial Advisor
Getting a fresh financial perspective after a divorce is a good idea for anyone who is feeling overwhelmed by the prospect of starting over after experiencing a loss in income or the introduction of large divorce related expenses. Seeking the assistance of a financial advisor during a divorce is recommended, but since the average divorce time consuming and stressful it is not unusual for a person to wait until the divorce is finalized before getting advice. A financial advisor can help you find ways to reduce your spending, increase your savings, and create emergency funds.
Put Debt Behind You
Leaving a marriage often results in one or both parties ending up with debt that they previously did not anticipate. Getting out of debt as soon as possible results in long term benefits even though it can create short term difficulties. Debt consolidation can make reducing debts more efficient and monitoring your credit post-divorce can prevent unexpected surprises in the future. Focusing on paying off debt associated with your previous marriage and establishing independent credit can increase your chances of achieving post-divorce financial recovery success.
Get Legal Advice
If you or someone close to you has recently decided that divorce or separation is necessary, getting legal advice immediately is highly recommended. A qualified divorce attorney can assist you in obtaining a settlement that provides you with the most financial protection available. An attorney is also able to recommend financial advisors and give you advice for moving on after divorce in a positive way that conforms to court orders. The team at Vayman & Teitelbaum are prepared to provide you with the aggressive representation needed to protect your financial future. With offices located throughout the Atlanta metro area, we are able to assist you with all of your divorce and family law needs. Contact us today to schedule a consultation at any of our four locations.