Finances are always a concern in a divorce, regardless of how much money you have. You need to protect what is rightfully yours and make sure that you have what you need after the divorce is final. One area particularly requires attention. This is your retirement. Knowing that you have the money you need to retire in Michigan is essential no matter how old you currently are.
A divorce can take a large toll on your retirement savings. Therefore, you ought to prepare to manage these funds when creating your divorce agreement. You will likely be thankful that you did when you finally reach retirement age and have the savings you need.
Choose assets wisely
Money.com suggests that you make sure the assets you get in the divorce suit you financially. Many women really want to walk away with the house. This is a huge asset, so you may have to give up many more assets in return to balance things out.
If you cannot afford to maintain the home, then you should not fight for it. Furthermore, your spouse may want to cut into your retirement accounts to make up for the lost portion of his assets, which you want to avoid. Never trade your retirement for the house if you can avoid it.
Consider your post-divorce income
You need to think ahead to what happens after the divorce. Consider how much you earn through working and other money coming in, such as alimony payments. Also think about money going out, which could include alimony. You need to get a good grip on what your finances will look like so you can ensure you get what you need in the settlement to sustain your retirement accounts and plans.
It is important to find a good balance in your divorce settlement. You do not lose your retirement but you should have adequate funds to maintain your new single life.
