Finances are one of the biggest concerns for Florida residents getting divorced. If you aren’t mindful, it can cost you once your divorce is final. If you stay focused on these factors, you can save a lot of money on your divorce.
Consider mediation versus traditional divorce
Traditional divorce in Florida can be expensive and may drag on for months or even years. Mediation is a better solution that can work if you and your spouse are able to come to an agreement on all the major issues. It also costs a fraction of a traditional court divorce and is much faster and easier for everyone. If you choose mediation, you and your spouse can both save money.
Focus on long-term budgeting
Estimate the costs of your living expenses before your divorce is final. It gives you the opportunity to concentrate on determining a budget that will work for you in the long term. Getting an idea of payments related to the divorce, especially if you are the one paying, will help you to devise a new budget for your future.
Keep your assets in mind
During a Florida divorce, it’s natural to pore over your assets. While you want to keep as much as possible, some assets are not feasible and might even become problematic. For example, you might want to retain the marital home, but it could cost you in the future. Regardless of the assets you hold, it’s wise to have a financial advisor look into everything to evaluate them.
Consider your new tax situation
Taxes always change after divorce. While there are tax breaks for married couples, people who file as single aren’t so lucky. You should plan for having to pay more in taxes after the divorce is final.
Update important documents
After a divorce, you will have to update all of your legal documents and beneficiaries. While you might have been happily married during your estate planning, once your divorce is final, you should focus on naming new beneficiaries and powers of attorney and update your will. Managing your finances during divorce can give you increased peace of mind as you move forward with your life.