When my husband I decided to start a business, we didn't think about the legal aspects of doing so. We didn't realize that purchasing business insurance, getting building permits and making investments all required some type of legal advice. But after speaking to a close friend, who also happens to own a small business, we contacted a business attorney. Now, we have the legal smarts to make the best decisions for our business, as well as the legal representation in case something happens to our company. I hope that you find my blog helpful and informative for your own business. It's a great resource for finding the legal advice, resources and guidance you need to get your company up and running.
A divorce is an extremely stressful process for all involved. After all, splitting up affects all facets of your life – from shared friends to pet custody. While divorce isn't pleasant, couples can usually come to an agreement on who gets to keep the trivial things – like pots and pans. Unfortunately, coming to an agreement about finances isn't as easy. During a divorce, your finances will likely take a hit. Luckily, you can be prepared by following these three tips:
1. Pay Off Debt and Close Joint Accounts
Perhaps the most important thing you'll need to do is pay off any debt the two of you accrued together. If you have the finances, do it before the divorce. While you can set up an agreement that states both of you will pay the debt together, it doesn't always happen. Unfortunately, creditors don't care about the divorce and they can come after you for the money they're owed. So if possible, pay off the debts before the divorce finalizes.
Additionally, make sure you close any joint accounts. This includes unsecured loans like credit cards, as well as bank accounts. If you really need those accounts, re-open them in your own name. Although it might be difficult, this will ensure that your spouse doesn't rack up more debt than you can handle.
2. Move Into a Smaller Home
Another thing you'll definitely need to consider is moving. While it might be nice to keep the home you bought together, it probably isn't feasible. Remember, after your divorce you'll be living on a single income. This means it may be very hard for you to afford the family home you bought together. Moving may not be fun or ideal, but it can really help you live within your means.
3. Update Beneficiary Information
Finally, make sure you take the time to update your beneficiaries. Your insurance company, work, and retirement accounts all need to be updated if your spouse was listed as your beneficiary. If you have your children listed as your beneficiary and you do not want your spouse listed as the custodian choice, change it now. This will ensure that your children still receive the compensation, without your ex-spouse being able to touch it.
While a divorce will certainly affect your finances, you can ensure minimal damage by following these tips. In addition, consider consulting with a divorce lawyer. A lawyer like those at the Law Office of Jared T. Amos can help you walk out of the divorce with less debt or financial damage.