While divorce is emotionally trying for all involved, it can also take quite a financial toll. That’s why Los Angeles couples must work to recover their finances once their divorce is finalized, which can be difficult after assets are divided, legal costs are covered, and child support is paid. USA Today offers the following advice on how you can bounce back financially after separating from your spouse.
Get a handle on spending
Many people’s lifestyles must change drastically after divorce. In this case, cutting spending to include only the necessities is essential to prevent debt from growing. For instance, some people will eat more meals at home to save money or refrain from excessive shopping. When you must spend money, try to look for an alternate method of funding (such as selling off jewelry or unwanted clothing).
A home large enough to accommodate a family may be too much for one person to afford. Utility costs alone can be exorbitant, while necessary maintenance will incur even more expense. Moving to a smaller home or apartment makes financial responsibilities far more reasonable. You can also look at it as a fresh start, as living in the same home you shared with your former spouse can be hard to deal with.
Figure out your debt & assets
Knowing where you stand financially after a divorce will allow you to make smarter decisions. This entails having a grasp on your current debt as well as how much money you have coming in. You also want to have a complete understanding of your assets, including any property you own. Once you have an accurate accounting of your financial status you can begin planning for the future.