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How can you protect your finances during a divorce?

On Behalf of | Aug 12, 2021 | Divorce

Getting a divorce in Texas is stressful, but it can be even more so when your marriage is ending later in your life. When you’re older, you’re more likely to expect it to last. You may want to take certain measures to protect your finances as you go through your divorce.

End shared financial accounts

Even though you are going through a divorce, you should know that you cannot escape the financial assets you and your spouse share. That means if you have debts that your spouse incurred but your name is jointly on a certain account, it’s your debt as well. The best thing you can do to protect yourself and your finances are to get your name off those accounts.

Update your estate planning documents

If you already created your estate plan and other similar documents, it’s time to update them. Once your divorce is final, you will want to have someone else named as your beneficiary. This might mean you can name a child or other close relative or even a close, trusted friend instead.

Consider postponing your retirement

Unfortunately, when you end your marriage later in life, it might mean that your spouse will be getting an equal share of your retirement funds. This is a possibility even if you held the same job for decades and your spouse worked sporadically or not at all and made very little money. You may want to consider postponing your retirement if your funds are going to be split down the middle with your ex.

Sell your assets

You can also sell your assets as a way to protect your finances during your divorce. You should sell as many assets as you can manage. Don’t skip out on the marital home. Even if you and your spouse get to share the proceeds from the sale of the house, it’s a good way to protect your finances.

Meet with a financial advisor

You may want to meet with a financial advisor to get helpful advice. They can coach you on ways you can protect your finances during your divorce.