Going through a divorce, it can feel like you might never recover your former life. However, while some things will change for good, you will still recover most of the things you lose during this rocky time period.
This goes for your finances, too. Though some studies average recovery rates at about five years after a divorce, you can take steps to expedite this recovery process.
Get involved in financial matters
Reuters discusses some of the money-related divorce regrets that divorcees commonly have. According to a study by Fidelity Investments, 80 percent of respondents uninvolved in matters regarding daily finances felt bad about this later. This can also help lead to the general breakdowns in communication and money issues that may contribute to a divorce in the first place.
It is best to get involved in the household finances as soon as possible. This way, both you and your partner can have access to all tax returns and bank accounts, along with keeping tabs on where the money comes and goes.
Consider retirement planning
Long-term planning and investment involvement serve as a crucial point, too. Partners should set financial goals together and communicate thoroughly about these matters. It is also important for all parties to understand the retirement balance and other retirement-related assets.
You can rely on prenuptial or postnuptial agreements to help sort out financial matters, too. Some couples even use postnuptial agreements as a tool to correct any bad spending habits that formed over the course of the marriage or reset finances. You can work together with an attorney to draft a plan that works best for you.