Divorce can be expensive. A traditional divorce through the court system is estimated to cost up to $20,000. This is in addition to the expenses related to separate housing, etc that comes with going from living in one household to two. These expenses can really compound the stress of divorce for many couples and even can deter a couple from taking the necessary step. Here are some ways that you can save money if you have made the decision to move forward with divorce:
1. Gather your financial documentation: There are several reasons why it is wise to gather all of your financial information prior to your divorce. First, you will need this information for the divorce process, so getting a jump on this will be important. In addition, it is helpful for you to orient yourself to your finances. You should review your income information, retirement balances, any stock/investment information as well as your assets and debts before you begin the divorce process.
2. Develop and stick to a budget: Whether or not you and your family had a strict budget before your divorce, it will be very important to stick to one during and after divorce. When you go from one household to two, that automatically increases your monthly bills without an increase in your income. So, it is important to develop a budget based on your income and expenses and stick to it so that you are not spending money without knowing where it is going.
3. Be realistic: Understanding that this is going to be a difficult time financially can prepare you mentally for what is ahead. Be realistic, give yourself grace and accept help and support.
4. Consider mediation: Mediation is far less expensive than litigation. First, it takes less time, and you are not required to have an attorney, so the expenses are cut dramatically right away. Mediation can be used to settle all aspects of a divorce and is highly effective, especially for families that share kids.
5. Avoid litigation: Paying hourly fees to an attorney adds up quickly and can drive the cost of divorce up quickly. If you can avoid mediation, you can save thousands of dollars on your divorce.
Lower The Cost Of Divorce With Mediation
AMS Mediation understands the financial impact of divorce and works hard to help you navigate the process while conserving financial resources. If you are interested in learning more about our mediation services and alternatives to litigation, call us at 952-252-1492.