3 Ways to Financially Prepare for an Illinois Divorce

 Posted on June 28, 2024 in Divorce

Much of the divorce process focuses on finances. Spouses who dissolve their marriages are sometimes required to pay child support and spousal support (alimony). They may also be required to divide their marital property, which refers to money and possessions belonging to both parties. These obligations can take a heavy financial toll.

However, spouses can protect themselves and limit financial hardship by preparing for divorce. This article will discuss three ways to prepare financially, but it is always best to consult an Illinois divorce attorney about what steps you can take.

Collect Financial Documents

A crucial way to prepare for divorce is to collect the relevant financial documents. However, this is easier said than done for spouses going through bitter divorces. If you are in a hostile divorce, you may have trouble getting access to these documents, especially if you are the "out-spouse." An out-spouse refers to a spouse who does not have knowledge or access to the couple’s financial assets. The in-spouse is the spouse who manages the couple’s finances.

Make sure to gather as many financial documents as you can, including:

• Bank statements
• Credit card statements
• Mortgage papers
• Any real estate deeds
• Retirement account paperwork
• Pay stubs
• Tax returns

These can help your attorney protect your financial interests and minimize your financial obligations in the divorce as much as possible.

Open an Individual Bank Account

If you have been using your joint bank account during the marriage, this might be a good time to open an individual account for yourself. You can start building up your cash reserves for your new single life.

However, make sure not to transfer any money into it that belongs to both you and your spouse. Doing so can be considered a crime, so check with your attorney about what you can safely deposit into your individual account.

Create a Budget

Creating a budget is an important step in preparing for divorce and life after divorce. Start keeping track of your earnings and spending each month. This is not only smart economically, but it may help you during the divorce process. When making decisions about spousal support, child support, and property division, judges place a lot of stock in the financial situation of each spouse. If your attorney can show the court that you have limited financial means, a judge may decide not to saddle you with unnecessary financial burdens.

Contact a DuPage County, IL Divorce Lawyer

Many people fear divorce because of how it will impact them financially. After all, divorce has been known to significantly reduce fortunes. However, preparing for your divorce can help mitigate the financial hardship.

At Davi Law Group, we know how financially difficult divorce can be. That is why our experienced attorneys work hard to give our clients every financial advantage possible. Call 630-657-5052 to speak with a skilled Wheaton, IL divorce attorney today.