Most in Pennsylvania are probably quite aware that divorce can be an emotionally trying and stressful time. However, what many may not necessarily know, or at least fully realize, is that it can be a strain on one’s finances as well. When going through a divorce, it is vital to gather together all of one’s financial documents in one place.
Keeping good records can prove important in securing a favorable result in the divorce proceeding. That is, knowing not only what one owns but also what one owes can help with putting together a spending plan for during the divorce. This way, while the process remains ongoing, one can spend appropriately and thereby ensure that they are not left penniless.
However, the financial stress of a divorce in Pennsylvania and elsewhere may continue long after the proceeding draws to a conclusion. Yet, by knowing one’s finances, the risk of having debt problems can be greatly reduced. For example, one of the biggest issues in a divorce is who keeps the house. However, what also needs to be asked is: does it make sense to keep the house?
In many cases, the answer may be “no.” It may not be possible to continue paying one’s own financial obligations in addition to the cost of maintaining the house. Then there are also mortgage payments and property taxes to take into account. By knowing one’s finances beforehand, these problems can be avoided. It may also be helpful to collaborate with the other spouse during the divorce in order to come to a fair conclusion about not only who gets what, but also who can afford what.
Source: Pocono Record, “Divorce is also a financial stresser,” Erin Baehr, April 1, 2012