Guest Blog Post
Post divorce financial recovery
A topic, Peggy Jones, knows about. I met Peggy at a Lilac Tree event last year. Like me, she has gone through protracted post divorce litigation. Not fun nor inexpensive, but she has come through the experience with a new outlook on life and a new career! I asked if she would share some advice on post divorce financial recovery for the readers of this blog.
Having begun my divorce in 2002 and just completed the divorce-litigation in 2012, I want to share my experiences and help others going through this process.
1.Design a budget to live on. Use Quicken or equivalent to record your expenses. Don’t think that one person only needs half the living expenses as two.
2. Financial adjustments need to be made. Learn to live within your means.
3. Managing finances after divorce is important. Get help from a professional to lead you in the right direction.
4. Credit- A divorce can affect your credit rating. Get your report annually at www.annualcreditreport.com
5. Retirement plans will change after the divorce. Please set goals and be disciplined to follow them. It is critical that you not use your retirement money for pre-retirement or non-essential expenses. Set up a well thought out plan with a financial representative.
6. Health insurance maybe more expensive than you anticipate. Cobra may be available but compare it to a personal policy. Use a provider that can give you several insurance companies to compare policies.
7. Life insurance is important if you have any dependent children or parents that you have responsibility to care for. If you have life insurance be sure you know who the beneficiary is on the plan.
8. Social Security takes into consideration divorced people. Be sure you understand the plan and what is best for you. www.socialsecurity.gov
9. Maintain your lifestyle with disability income insurance. As a single person who will take care of you if you become disabled?
10. Security for you and your family with long-term care insurance. The fundamental concerns are preserving assets, maintaining care options and not becoming a burden to their children or other relatives.
11. Inflation may be an issue in your near future. Have savings and investments to help keep up with inflation.
12. Mental health and emotional wellbeing is vital. Consider seeking outside help through a church, doctor or The Lilac Tree.
13. Exercise is essential to your mental and physical wellbeing.
Your goal in 2013 is to have financial independence and be in control of your life.
Happy New You!
Peggy Jones /Curt Matlin
Thank you, Peggy!
You may also be interested in these past posts:
Is Divorce your New Year's Resolution?
Send me your comments about your experience with divorce in Cook County at firstname.lastname@example.org