How to Protect & Prepare Before Asking for a Divorce

Organize your financial assets to prepare for a divorce.

Going through a divorce may be one of the most stressful times in your life. If you have children, you'll also be responsible for helping them cope. Even if you have not yet filed for a divorce, you can take steps now to help protect your financial well-being.

Instructions

1. Consult with a lawyer to discuss your options. Talk to a few different lawyers before settling on the one that you prefer. Even if you are not yet ready to file for divorce, your lawyer can help you develop an individualized checklist of steps to take to prepare. Calculate legal fees in advance.

2. Organize and review your relevant documents. Relevant documents often include a prenuptial agreement, monthly income statements, the last five years' tax returns, inventory of assets, mortgage statements, outstanding debts and you and your spouse's personal net worth. These documents will be necessary for dividing assets and debts. Charles Schwab recommends getting your name listed on all investments and other accounts if it isn't already.

3. Calculate the amount of income you'll need to support yourself and your children, if applicable. Consider average monthly expenses, including health care. If you have children, consider tuition costs, childcare costs and other large expenses, like orthodontics.

4. Request a copy of your credit report. According to Woman's Divorce, divorce may ruin your credit score. If your credit is already poor, start clearing your debts.

5. Apply for a credit card that is listed only in your name. Charles Schwab points out that this will help establish your own credit. You'll also have sole control of the account.

6. Determine what will happen to your medical insurance once you are divorced. If you are at risk of losing your coverage, Woman's Divorce recommends getting both dental and medical checkups and any medical procedures performed before you file for divorce. This applies to you and any children. Begin shopping around for post-divorce medical coverage.

7. Prepare to help your children cope with the divorce. Talk to a counselor about the best way to introduce the subject to them. The extent of information you give them depends on how old or mature they are. Develop a plan that you can share with your spouse regarding how to maintain a civil relationship when the kids are around. When you do file for divorce, ask your spouse to agree with you not to fight in front of the kids.

References

• Charles Schwab: Preparing for a Divorce
• Woman's Divorce: Preparing for a Divorce
• New York State Society of CPAs: Surviving Divorce: How to Protect Yourself Financially
• KidsHealth: Helping Your Child Through a Divorce