For many couples, ending their marriage is the right choice. However, it is a life-changing decision, particularly when it comes to finances. Fortunately, you can take steps to protect your financial security along the way, from hiring a divorce lawyer to devising a new household budget.

3 Tips to Financially Prepare for Divorce 

1. Evaluate Your Expenses 

Although you may not know how much you’ll be earning until the final child support and alimony orders have been issued, estimating minimum monthly expenses will provide a starting point for the negotiations. Start by reviewing all bank and credit card statements to look at how much you spend or withdraw every month. If you and your spouse cover different household expenses, make a list of the costs you’ll have to take on following the divorce, which might include housing, utilities, transportation, health insurance, food, childcare, retirement contributions, or the minimum payments for various debts. Estimating such expenses may sound overwhelming, but remember that your costs as a single individual will be lower than what you used to spend as a combined household.

2. Compile Essential Paperwork

Make copies of all critical financial documents, including mortgage agreements, credit card statements, bank account details, and pay stubs. Your divorce lawyer can provide a checklist of documents to gather to ensure nothing falls through the cracks. Having this paperwork on hand will facilitate the proceedings when it comes time to divide assets and determine alimony as well as confirm that your spouse disclosed everything to the court. 

Such documents will also be required to estimate child support obligations. Like most states, North Carolina uses a formula to determine these orders; however, judges can deviate from the guidelines for extenuating circumstances. For example, if financial documents reveal the noncustodial parent pays for 100% of the child’s health insurance, the judge would likely reduce the monthly support obligations accordingly.

3. Establish Accounts in Your Name 

You may not be able to close any joint accounts as long as the divorce is pending, but you can open new ones in your name. As soon as you decide to file, open a bank account and a credit card solely in your name, which will allow you to move forward with control over your finances. 

If you've decided to end your marriage, turn to a divorce lawyer at Bates Law Firm, PLLC, in Wadesboro, NC. With decades of experience serving the communities in Anson, Richmond, Stanly, and Union counties, the firm assists with asset division, child custody, DWI defense, and personal injury representation. To request a free consultation with a divorce lawyer on their team, call (704) 694-0195 or reach out on their website.