As you go through your divorce, you may only focus on getting through your current situation. But once everything is over, you will need to adjust to supporting your household with only one income. If you haven’t financially prepared yourself, you may struggle to pay your bills.
Once you make the decision to get a divorce, you should start planning for your post-marriage life. One of the best preparations you can make is a budget for your life after divorce. But what should you budget for?
Considerations for a budget
Once your divorce is final, you will have less income and may have debts from legal fees. Whether you stay in the family home or find a new place, you will be responsible for housing payments by yourself. As you create your budget, you should keep in mind:
- Housing or rental payments
- Utility bills for water, gas, electricity and internet
- Car payments and
- Weekly expenses for groceries
You may also want to set aside savings for an emergency fund for unexpected bills. If your car breaks down or your water heater goes out, some savings can ensure you can fix these things without worrying.
Matching expenses to your income
As you add up all your expenses, you will need to make sure they don’t go over your income. If they do, you may need to see how you can cut costs.
You may need to switch to a cheaper car or less expensive home. Or, if you have children, you may be able to find a family member or friend to watch them to reduce your daycare costs.
Making a budget is an essential step for your post-divorce life
Switching to life after divorce may be hard on your finances. Having a handle on your expenses can help you adjust to your new situation.
Preparing a reasonable budget can help you ease the stress of your post-divorce life.