Achieving financial independence is a critical step in reclaiming your financial future after divorce. For many, this is the first-time managing money independently, but with the right approach, you can take control of your financial life.
1. Build a Solid Foundation
Start by organizing your finances. Open individual accounts for banking and credit. Ensure your name is removed from joint accounts and update your beneficiaries on insurance policies and retirement accounts.
2. Educate Yourself About Money
Financial literacy is the key to independence. Learn the basics of budgeting, investing, and retirement planning. Use online resources, books, or workshops to build your knowledge and confidence.
3. Prioritize Financial Security
Before making big financial decisions, ensure you have a secure foundation. Focus on building an emergency fund, maintaining health insurance, and setting aside money for taxes. These steps will protect you from unexpected challenges.
4. Invest in Your Future
Saving alone isn’t enough, investing is crucial for long-term financial growth. Work with a financial advisor to create a diversified investment strategy that aligns with your goals and risk tolerance.
5. Protect Your Assets
Safeguard your financial future with proper estate planning. Create or update your will, establish powers of attorney, and consider trusts if needed. These steps ensure your assets are protected and distributed according to your wishes.
Reclaiming your financial future is an ongoing process. By taking control of your finances and focusing on independence, you can create a secure and fulfilling future.
Raymond James and its advisors do not offer tax or legal advice. You should discuss any tax or legal matters with the appropriate professional. Every investor’s situation is unique, and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation. Investing involves risk and you may incur a profit or loss regardless of strategy selected, including diversification and asset allocation.
The foregoing information has been obtained from sources considered reliable, but we do not guarantee that it is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Any opinions are those of Elana Milianta and not necessarily Raymond James.
