ANOTHER NOTE ON THE IMPORTANCE OF FINANCE & BUDGETING

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ANOTHER NOTE ON THE IMPORTANCE OF FINANCE & BUDGETING

I recently read an article on Grey Divorce. This refers to people 50 years and older who are getting divorced. Oftentimes, women in this category end up living in poverty after a divorce. This is why one should be concerned with finance and budgeting. When going through a divorce, it is important to know the details of your household’s income, expenses, assets, and liabilities. If you are responsible for paying the bills, this should be easier for you. Put together a list of all income and expenses for the household and each spouse. List all assets to include joint and for each spouse. Examples of assets include stocks, bonds, retirement accounts, cars, etc. List all debts to include joint and for each spouse. Examples of debt include loans, credit cards, tax debt, etc. It is also beneficial to have copies of tax returns. Important information can be obtained from a tax return.

People that may be able to assist you include a lawyer, accountant, or any other person familiar with gathering financial information. It’s like putting together the pieces of a puzzle. You will find this especially beneficial when you need to prepare financial statements for an attorney or mediator. You will already have done this and will be one step ahead. I cannot stress enough the importance of preparing a budget for yourself since you will be responsible for paying your expenses once you are on your own. This way you will have some idea of what your financial position will be once you are on your own. If you remain in the marital home, you will have some idea of what your expenses will be. Will you have enough income to cover those expenses? Will you potentially be receiving any alimony? If so, include the estimated amount in your income. After the budget is done, will you need to get a part-time job or side business to bring in additional income? A side business or part-time job can also help fund a retirement account. Will you be receiving any of your spouse’s retirement or other assets? It may be a good idea to see a financial planner to help you map out a plan for the future. Taking these steps will help to ensure that you will not be living in poverty during your golden years. Let me know if I can be of assistance.

Emmerstine Mackie

Divorce Coach for the “Seasoned Woman”