Divorce can be an extremely stressful and demanding process, but there is a silver lining – studies have shown reclaiming control of finances post-divorce is liberating for many divorcees, both husband and wife. The disentanglement of finances has been shown, despite sometimes losing money to alimony, to provide a level of agency to divorcees that has been sought after throughout a tumultuous marriage.
Of course, properly assessing your financial situation is essential prior to divorce. With the facts on the table and the right planning, Pittsburgh divorcees can make big strides towards total financial independence and being able to confidently take control of your finances.
Your credit situation
Between mortgages, low interest purchase cards for home furnishings and other credit products, a married life can quickly become entangled in credit and your records muddled. Indeed, Pittsburgh residents make a large contribution to the national $3.83tn consumer debt pile. With the breakdown of marriage attributed 70% of the time to financials, this can also lead to collections and errors on your report. With divorce, you have the opportunity to correct this, and this includes where collections were made against your previous partner. For someone reclaiming control of their financial history, strides can be made by pursuing the removal of credit collections from your report, giving you a rosier outlook for the future.
Budgeting becomes a lot simpler after divorce. Expenditure no longer becomes joint and that means you have only yourself to consider when you make purchases or plan out the weeks and months to come. Take advantage of this to reduce costs across the board; without compromises you can spend exactly as much or as little as you like on all aspects of your life and be able to solitarily plan your life out without the effect of unexpected expenditure on the side of your other half.
Increasing Your Savings
The increased agency over your budgeting can bring a positive knock-on to your savings, which can be managed solitarily with modern technology. Savings often fall by the wayside during marriage as they are brought together for big projects that are the subject of compromise. The ability to take full control of your expenditure means you can save for what’s important and make decisions without needing to seek influence from your partner.
Divorce can feel bleak but it really isn’t the end. Whichever side you are on, and whatever income level you are at, being single again gives you the freedom to manage your finances to the nth degree and bring happiness from what you find important.