contemplating divorce

decision to end a marriage is a difficult choice couples find themselves making every year. While the thought of getting the divorce process started may be daunting and overwhelming, there are steps you can take to help alleviate some of that stress and get you off to a more informed start. Nevertheless, consulting an attorney is always a good idea if you are considering divorce, as every situation is different and there is no one-size-fits-all approach.

Regardless of whether you or your spouse took responsibility for making sure the bills got paid every month, taxes got filed every year, or car registration fees were paid during your marriage, you should get organized with important documents for all your accounts (financial and otherwise). Get copies of bank and credit card statements, tax returns, car titles, deeds, retirement account information, loan statements, billing statements for utilities or other regular expenses, life insurance policies, and health insurance information. Having your important documents collected and organized will not only help with the actual divorce process, but it will also give you a sense of your current financial health.

You may be going from a one-income household and preparing to re-enter the workforce, or you may be trying to figure out how your two-income household is suddenly going to be able to provide for two separate households post-divorce. Either way, in most cases, there is some level of lifestyle change post-divorce. Depending on your situation, it may not be feasible to buy a new home post-divorce or it might make more sense to switch from a traditional health insurance plan to a health savings account. If you don’t already have an idea of what your monthly budget is, start tracking it, but also start thinking about what your post-divorce monthly expenses and budget will look like so you can evaluate your post-divorce financial needs and start preparing for the future.

You may have historically been in charge of the family finances or entrusted your spouse to handle all-things-money during your marriage. Either way, if you don’t already make a habit of getting your credit report annually, there is no time like the present. You are able to get a free credit report once per year from Experian, TransUnion and Equifax. Checking your credit report is important so that you can see credit accounts existing in your name, including joint accounts. Credit can also be important if you are planning on financing a vehicle or home post-divorce.

If you are getting a divorce, chances are you do not intend to leave your estate to your soon-to-be former spouse. If you have a will, now is the time to get it updated. The same goes for designated beneficiaries for your life insurance and retirement accounts. Don’t wait until your divorce is over to make these changes, or you could run the risk that your soon-to-be former spouse gets control or possession of your estate if you die or become disabled before the divorce is final.

This article was written and prepared by Morgan L. Croaker, an associate attorney with the Serkland Law Firm in Fargo. She concentrates her practice in the areas of divorce and family law, and general commercial litigation. For more information, call 701-232-8957, email mcroaker@serklandlaw.com or visit serklandlaw.com.

This article should not be considered legal advice and should not be relied upon by any person with respect to his/her specific situation.