Divorce can feel like an emotional whirlwind, leaving little room to think about the future. However, taking control of your financial well-being is crucial to building a secure foundation for yourself and your family. By re-evaluating your financial priorities and making intentional choices, you can create a stable financial future. Here are five practical steps to get started:
1. Adjust Your Expectations
Post-divorce life often comes with increased expenses and reduced income. Where there were once two incomes supporting shared expenses, there’s now just one. You may also have less savings than before.
To navigate this new reality, reassess your lifestyle and consider making adjustments. This could mean downsizing to a smaller home, cutting back on discretionary spending, or increasing your work hours. The sooner you align your lifestyle with your current financial situation, the better positioned you’ll be to succeed.
2. Clarify What Matters Most
Divorce often marks a turning point—a chance to redefine your personal and financial goals. What mattered when you were married may no longer align with your current priorities.
Take time to reflect on what truly matters to you. What dreams do you want to pursue? What goals feel most meaningful? Use this period of transition to realign your financial priorities with the life you want to create moving forward.
3. Understand Your Net Worth
A clear understanding of your financial situation is essential for building a plan and FOUNDATION. Start by calculating your net worth:
Subtract your liabilities from your assets to determine your net worth. This number is a baseline for understanding your financial health and tracking your progress toward future goals.
4. Create a Budget
Once you’ve identified your financial priorities and net worth, develop a budget that aligns with your goals. Begin by separating your expenses into two categories:
Evaluate your spending and look for opportunities to save. Can you reduce takeout meals or pause unused subscriptions? Could a staycation replace a costly trip? Small sacrifices can yield significant long-term benefits, helping you achieve financial stability.
5. Monitor Your Progress
Staying motivated requires tracking your progress. Regularly review your financial plan, savings, and investments. Check in with a financial advisor to ensure you’re on track to meet your long-term goals.
Seeing measurable progress over time builds confidence and keeps you focused. Celebrate milestones, no matter how small, and use them as motivation to continue your journey toward financial security.
Take the Next Step
Navigating the financial aftermath of divorce is challenging, but you don’t have to do it alone. At Foundation Wealth Partners, we’re here to support you every step of the way.
We’ll help you assess your financial needs, explore your options, and make informed decisions that benefit you and your family. Let us guide you toward a confident and secure financial future.
Ready to take control of your finances after divorce? Schedule a call with our team today.
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.
