Divorce may have a financial impact on your life. You may have to consider if your income alone is sufficient for you and your children’s living, housing, and education expenses. Unless you are confident that you have sufficient funds for your own and your children’s expenses for the foreseeable future, you should get maintenance from your spouse. Do not be a hero and ask for no maintenance.

During the divorce process, you will need to identify expenses that are required for you and your children. It would help if you also discussed the necessary adjustments for your joint expenditures or debts with your ex-spouse. Who will continue contributing to the joint expenditures after the split?

These are some of the common joint expenditures:

Mortgage Loan

Mortgage Loans

Renovation loan

Renovation Loans

Education Expenses

Children's School Fees

Children Living Expenses

Children's Living Expenses

Household Expenses

Household Expenses

 

Budget Management will let you better understand your income versus your expenditures. Most importantly, it helps to prioritise your goals and effectively manage your budget. It will also help you to get the right maintenance for you and your children.

Steps involved in Budget Management

  • Evaluate and review your current financial situation.

  • Identify the possible changes in your finances, i.e., from one household to two separate households.

  • Estimate future income and expenditure based on the current situation.

  • Determine a budget to achieve short and long-term financial goals.

  • Review and adjust income and expenses based on changing circumstances, priorities, or financial conditions..

  • Explore different tools to achieve financial goals.

In summary, budget management aims to ensure financial stability despite an unforeseeable event, i.e., divorce. It helps individuals maintain financial discipline, optimise the usage of unutilised funds and plan for the future.

Disclaimer:

This content is meant for information purposes or reference only and is not to be relied upon as professional or legal advice. This content does not constitute either advice or an offer or an invitation to offer to acquire, dispose of, subscribe for, or underwrite any of the financial instruments described herein.

While we have taken care to check the source of information, we cannot guarantee that the information is accurate, complete, or will suit your financial consultation needs. You should seek advice from an attorney or professional who will be able to provide you with the relevant advice before you make any decision.

All details such as names, characters, places, companies and scenarios are fictitious. Any resemblance to actual events, locales, persons living or dead is entirely coincidental.