Living with your child’s other parent means that you can split all the expenses for the house and the children. This isn’t the case if you separate. After you split up, each parent will have their own home. Many of the expenses for the children will have to be divided.
Getting the finances in order is important so that you know where your money is going and what has to be taken care of. You must factor in several things when considering how to handle your finances after the divorce.
Determine housing costs
Your housing costs will probably be the biggest category of expenses you have. Costs like rent or mortgage, utilities, insurance coverage, and taxes are all included in this category. You should also budget for food and household supplies.
Plan for shared expenses
Some expenses that the children have will be shared between you and your ex. This might include extracurricular activity fees, school expenses, and other costs. You and your ex should determine how to share those and how payments will be handled.
Outline child-related unshared expenses
There are bound to be some expenses your child will have that aren’t going to be shared with your ex. Think about things like day camp when they’re with you but out of school. Be sure you put those in the budget so you know you’ll be able to cover them.
Working out all the details about child custody should happen as quickly as possible after you break up. This should include everything from conflict resolution and parenting time schedules to shared expenses and guidelines for raising the children. It may take creative solutions to handle it, but having a plan that puts the kids first can help them thrive.