Tips to Improve Your Finances After a Divorce

It is very common for the divorce process to negatively impact an individual’s financial situation. In order to take back control of your finances, it is important to have a plan. Continue reading to discover the top tips for improving your finances post-divorce. If you have any follow-up questions regarding your post-divorce process, do not hesitate to reach out to our experienced divorce attorney. We understand that the divorce process is stressful and overwhelming. Contact our firm today to discuss our services and how we can assist you during this time.

Establish Your Credit

Building a strong credit score on your own is one of the first goals you should set once your divorce has been finalized. To get started, it is smart to open a credit card that will be utilized solely to pay monthly bills such as utilities. At the end of each month, you will pay off the credit card bill. This will help you establish credit in your name so that you can eventually make large purchases on your own such as purchasing a car.

Sell What You Can

There are many outlets online that allow you to sell items that you no longer use or need. Selling items such as old furniture, clothing, jewelry, toys, bikes, etc. is a great way to build up cash savings. Utilize outlets online such as the Facebook marketplace to sell items seamlessly to those in your neighborhood.

Cash is Your Friend

Use cash as much as possible when trying to get back on your feet after your divorce has negatively affected your finances. It is best to hold off on large purchases with credit cards until you have earned enough cash to cover the purchase. This process will help you to save money.

Budget, Budget, Budget

Now that your household is relying on a single income, it is time to rethink your budget. Budgeting allows you to create a clear picture of your income and the best ways to utilize it. Start budgeting by creating a few separate lists. List number one will include household bills such as gas, water, electricity, property insurance, and rent or mortgage. The next list will include your monthly debt payments such as student loans, credit cards, and auto loans. Your final list will include groceries, household goods, and monthly expenses. This process will help you to visualize your spending and the best ways to utilize your monthly income to save and boost your finances.

CONTACT OUR EXPERIENCED NEW JERSEY FIRM

If you require strong legal representation for matters of divorce and family law in Rumson, Monmouth County, or anywhere in New Jersey, contact The Law Offices of Paone, Zaleski & Murphy to schedule a consultation with one of our experienced attorneys today.