Ex-spouses in Illinois know firsthand the effect that divorce can have on one's finances. In many instances, ending a marriage means splitting financial assets in half, trying to support multiple households at the same time and covering attorney fees. Research shows that households that have never gone through a divorce have about 30 percent more wealth than those that have. It's important to note that many post-divorce challenges are unique to ex-wives.
Some financial experts encourage women going through a divorce to not hold on to the family house. While there is no such thing as a one-size-fits-all financial approach for divorcing women, it generally takes a lot of money to maintain a house, pay the mortgage and cover property taxes. Couple on to that landscaping, repairs and homeowner association fees and one can clearly see why for some divorcing women, the house goes from being an asset to a liability.
The other side of the coin is that a person can live without a retirement account and without savings. However, a person cannot live without a roof over their head. Although paying the mortgage and keeping up with a home takes a toll on one's finances in the short-term, mortgage payments eventually disappear and the value of the home has a good chance of rising over time.
When determining whether or not to keep a home after divorce, one should balance the expense of keeping up with the property against what they might lose. For example, they may no longer have the necessary funds to contribute to a retirement plan or other savings accounts in the future.
A family law attorney can work with a client by providing options for financial planning after a divorce. Legal counsel could also sort out asset-division issues, alimony concerns and more.