When couples in Louisiana think about divorce, they know they’ll face additional costs in their daily living expenses. However, many individuals don’t consider just how many extra costs they will face once they start setting up separate households. Consider these hidden costs and factor them into your post-divorce budget before you start the process.
Hidden legal fees
Most people are well aware that they will encounter family law fees, including paying their divorce attorneys, budgeting for child support and alimony. Depending on the situation, some divorcing couples will encounter other legal fees involving court costs, splitting retirement accounts, protecting a business or making modifications to childcare or alimony. All require separate documents, necessitating your attorney to bill extra.
What living costs will I encounter?
Unless your friends help you move into a new place, you’ll need movers with all their inherent costs. Even without a mover, you’ll need to buy moving supplies. Those getting divorced must also budget for higher taxes as they will file as single individuals after the final decree. One spouse will also need a new healthcare policy, incurring an additional premium. Childcare costs will increase, too, because both spouses may be at work, while other obligations may also necessitate additional childcare needs.
How can I prepare for additional divorce expenses?
Couples contemplating ending their marriage can take several steps to minimize their costs during the process. Going through collaborative divorce, mediation or other alternatives can minimize the time you spend with your attorney and reduce legal fees. Being prepared for the process by gathering all necessary documents can reduce the length of the process. Although these services incur costs, working with a financial planner or similar divorce professionals can reduce costs in the long run by helping with the negotiation process.
You can also take steps in your personal life to help ease the financial blow. Understanding your legal obligations and putting aside money for unexpected fees and court costs can help you pay them. Setting a budget, not living an excessive lifestyle and building individual credit as soon as possible will also help.