What To Do If You Get Divorced
By Brett Gottlieb and John Mc Kean
The complexity of divorce can be overwhelming for anyone. Whether you saw it coming from miles away or were taken by surprise, it can be emotionally, mentally, and financially draining. While divorce may have its negatives, it’s also an opportunity to create a brand-new life for yourself.
If you’re divorced, here are 6 things you can do right now to secure your financial future.
1. Take A Look At Your Current Situation
You won’t know what you need to do to make progress toward your goals and turn over a new financial leaf if you don’t know where you stand right now—strengths, weaknesses, and all. Start with these steps:
- Calculate your monthly income and expenses to determine if you’re spending more than you make.
- Look at your debt and credit card statements to identify any spending habits that need to be changed.
- Review your savings, investments, and retirement accounts to get a clear picture of how much money you have.
- Once you’ve gathered all this information, create a budget that works for you in your new post-divorce life.
2. Create An Investment Plan
Oftentimes when assets are split, investment accounts can be part of the deal. If your divorce settlement included investments, you’ll need to review them and make adjustments if necessary. These adjustments may include estimating capital gains or losses, reallocating assets, or rebalancing portfolios.
Then create an investment strategy based on your new long-term financial goals. If you’re unsure about what your investment strategy should look like, contact a financial advisor. This person can help you develop a new plan based on your unique situation.
3. Update Insurance Policies
If you shared any insurance policies with your spouse, you may need to purchase new policies of your own. This could be anything ranging from car and home insurance to health and life insurance. If you have children, determine whether they will be on your health insurance policy or your ex’s.
4. Double-Check Beneficiaries
Your spouse is most likely listed as the beneficiary on your life insurance policy, your will, and your financial accounts. You may have also listed them as your power of attorney and point of contact for medical directives. If you named your spouse on any of these documents and you no longer wish for them to serve in that capacity, update them as soon as possible.
5. Don’t Be Too Hard On Yourself
Divorce is uncharted territory for most people. While you once made decisions as a team, now you’re making them on your own. If you have children, then you’re all navigating these new waters together. Your bad days may look different than their bad days. Don’t beat yourself up in the process.
6. Get Support From A Professional
In many marriages, one spouse takes on the role of managing the finances. They may have been the only one paying the bills, creating the budget, and filing the tax returns. If you weren’t the spouse in charge of these things, seek out trusted professionals who can help you get on the right track. A financial advisor, for example, can help you create an investment plan, help preserve and grow your assets, and perhaps even teach you basic financial management skills. There’s strength in numbers, and you don’t have to do this alone.
Our Hope For You
Setting up a solid financial plan is a great way to build financial confidence after a divorce. At Comprehensive Advisor, we’re here to guide you through this new chapter in life. Whether you need help planning for your child’s future, managing new investments, or developing financial goals, we can help. To get started, email us at info@ComprehensiveAdvisor.com or call (760) 813-2125.
About Brett and John
Brett Gottlieb is the founder of Comprehensive Advisor and a financial advisor with nearly two decades of industry experience. He graduated from California State University-Chico with two bachelor’s degrees in Business Administration and Economics. Brett is Life Insurance licensed in several states.
John Mc Kean, financial advisor, joined Comprehensive Advisor in 2016. He has been in the financial services and retirement planning industry for over six years. John is Life Insurance licensed in California.
Brett and John previously worked as Registered Representatives with Securities America, one of the largest independent broker/dealers in the country, and currently offer advisory services through AE Wealth Management, LLC. Both are passionate about educating clients on retirement planning. They take a common-sense approach to the planning process and work with clients to create a retirement road map to help ensure their assets are protected and they receive the income needed to enjoy their future. Based in Carlsbad, California, they work with clients throughout San Diego County. Learn more by connecting with Brett on LinkedIn or email them at info@ComprehensiveAdvisor.com.
Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Comprehensive Advisor are not affiliated companies. California Insurance Licenses #0C68886 & #0K37445. Neither the firm nor its representatives may give tax or legal advice. Investing involves risk, including the potential loss of principal.
This material is intended to provide general information and is believed to be reliable, but accuracy and completeness cannot be guaranteed. 308921