Rosenthal Law & Mediation
  • About Us
  • Testimonials
  • Blog
212.532.4704

We're here for
your family.

  • Divorce
    • Overview of Divorce Services
    • Divorce Mediation
    • Collaborative Law
    • Uncontested Divorce
    • Review / Consulting Attorney
    • Support Calculator
    • Divorce Resources
  • Mediation
    • Mediation Services Overview
    • Divorce Mediation
    • Mediation Resources
  • Family Law
    • Family Law Overview
    • Prenuptial Agreements
    • LGBT Families
    • Support Calculator
    • Family Law Resources
  • Adoption
    • Adoption Services Overview
    • Lesbian & Gay Adoption / Second Parent Adoption
    • Step-Parent Adoption / Kinship Adoption
    • Foster Parent & Agency Adoption
    • Birth Mothers & Adoptive Parents
    • Adoption Resources
  • Contact
internal-main-image-divorce

What’s in Your Wallet? (Do You Know?)

December 6, 2019 By Joy Rosenthal

Piggy bank with glasses,coins and calculator on table ,gray background One of the things that I’ve noticed when I mediate is that one person in a couple is often much more financially literate than the other. What do I mean by this? That one person has a better sense of what things cost, what the family needs, and what their financial futures might be. Often one person pays the bills and the other person has only a vague idea of what the household budget is — just that the credit card is paid each month.

This often surprises me, but it shouldn’t. We are not really taught in school how to deal with money the way we are taught how to read. Most of us are not formally taught how to figure out a budget, how to keep track of expenses, or which obligations to pay first. We might learn this from our parents — or might not. Just as it is important for both adults in a household to know how to cook or to do the laundry, it is important for both partners to know how to pay the bills and manage a budget.

This really hits home when couples are thinking about living in two households. One of the most challenging aspects of divorce (at least in New York City where housing costs are sky-high) is to stretch the budget — that used to be just enough for one home — to cover two homes. Thus, it is especially important for both partners to be financially literate — that is, at least to understand what they have coming in, what their expenses are, and to come up with a plan for how to fill in the gap. (Hint: either increase income or decrease expenses.)

It can be quite overwhelming. Sometimes I see the less financially oriented person give up, saying something like, I’m an artist — or stay-at-home parent, or dreamer — you know I don’t think that way. And this might be the first time in their adult life that they have to deal with such mundane things as making sure the light bill gets paid.

In this type of situation, I often recommend working with a financial coach — someone who can educate and guide the less sophisticated partner, to help them make smart financial decisions.

There is a whole industry built around divorce financial planning, and there are some wonderful resources available. Here are a few:

  • The Institute for Divorce Financial Analysts has some good worksheets available for free, as well as a directory of professionals.
  • I personally like the book, Money & Divorce: The Essential Roadmap to Mastering Financial Decisions, by my colleague, Lili Vasileff.
  • And another colleague, Stacy Francis, started Savvy Ladies to help women become more financially literate.
  • Although I’ve never used it, several of my clients have recommended the app, Mint, for tracking expenses and getting a realistic view of what they’ve got.

Do you have any favorite tools or resources that you’d recommend? Please email me and let me know!

Facing a new life on your own can be daunting. Don’t hesitate to ask for help when you need it.

Joy Rosenthal

Joy S. Rosenthal, Esq.
joy@joyrosenthal.com

Rosenthal Law & Mediation
225 Broadway, Suite 2605
New York, New York 10007
Phone: 212.532.4704

Filed Under: Divorce, money Tagged With: divorce, Divorce Financial Planning, finances, Financial Literacy, Institute for Divorce Financial Analysts, Lili Vasileff, Money and Divorce, Savvy Ladies, Stacy Francis

Categories

Recent Posts

  • When One Door Closes…
  • 7 Tips for Parents Talking to the Kids About Divorce or Separation
  • Did Will Smith have an amygdala hijack?  

Recent Comments

  • Lauren Petkin on As I Live and Breathe…
  • Steve Abel on What’s Fair Is Fair… Or Is It?
  • Joy Rosenthal on Love in the Time of Coronavirus

Archives

How Can We Help You?

  • This field is for validation purposes and should be left unchanged.

↑ Back to Top
Rosenthal Law & Mediation
212.532.4704

Joy S. Rosenthal, Esq.
226 Prospect Park West #156
Brooklyn, NY 11215

The information on this site is not, nor is it intended to be, legal advice. You should consult an attorney to obtain legal advice regarding your own situation.
Client Resources | Make a Payment | Disclaimer | Privacy | Sitemap
Website Design by Team of Horses | ©2010-2022 Rosenthal Law & Mediation