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How to prep your finances for a divorce

On Behalf of | May 21, 2021 | Divorce, Family Law

Every California couple going through a divorce has a unique situation. There isn’t just one solution for preparing your finances for the process and life afterward. However, there are some general steps that you should follow to help point your finances in the right direction.

Construct a financial inventory

One of the biggest issues dealt with during a divorce is splitting up the marital assets and liabilities. These include things like vehicles, houses, checking accounts, retirement accounts, personal loans and credit card debt. A great way to get an upper hand is to create a financial inventory. This should include all of your marital assets and liabilities.

Decide on a date of separation

One of the most important dates in your divorce case will be the date of separation. This is the day that your state will use to officially classify you and your spouse as separated. You’ll need to specify what this date is so that you can proceed forward with splitting your assets. In addition, this will be the day from which you and your spouse will separate your income.

Get your finances separated

Now is the time to set up different checking accounts and other types of accounts to help separate your finances. While there are some accounts that you’ll have to wait for the divorce decree to separate, it’s best to start with establishing new accounts as quickly as possible.

Going through the divorce process can be both time-consuming and financially trying. You should prepare yourself in a financial sense for the future.