Divorce Can Change Everything—But You Can Still Build a Strong Financial Future
Divorce isn’t just an emotional event—it’s a financial turning point. Whether you’re recently divorced or going through the process in Slidell, Covington, or Mandeville, it’s critical to take control of your finances before life moves on without a plan.
At Consortium, we help Louisiana residents rebuild their financial lives after divorce. This guide walks you through real, actionable steps for financial planning after divorce, to protect your assets, stabilize your income, and move forward with confidence.
Table of Contents
🧾 1. Assess Where You Stand Financially—Right Now
The first step in any post-divorce financial plan is clarity.
✅ Create a detailed inventory of:
- Checking/savings accounts
- Debts (mortgage, credit cards, auto loans, etc.)
- Retirement accounts and investments
- Monthly income and fixed expenses
- Alimony or child support (received or paid)
Consortium Tip: Organize your financial picture with a simple spreadsheet or work with a financial advisor to get an objective overview. Understanding where you are is the first step to building a better future.
💳 2. Create a New Budget Based on Your Reality
Your expenses, income, and goals have likely shifted. Now is the time to build a post-divorce budget that reflects your current life—not your past one.
Include:
- Rent or new mortgage
- Insurance coverage (health, auto, life)
- Child-related costs (tuition, extracurriculars, healthcare)
- Emergency fund contributions
💡 Consortium helps newly single clients create sustainable budgets that prioritize financial safety while still making room for long-term goals.
🛡 3. Update All Legal and Financial Documents
One of the most overlooked areas after a divorce is updating your documents. This can include:
- Will & estate plan
- Beneficiaries on life insurance, 401(k)s, IRAs, and pensions
- Power of attorney & medical directives
- Joint accounts or credit cards that need to be closed or refinanced
Failing to update these could leave your ex-spouse in control of your money—or leave your heirs in a mess.
At Consortium, we guide you through every post-divorce document that needs updating—many people miss critical ones that can hurt them down the road.
💼 4. Rebuild Retirement and Investment Strategies
You may have split retirement accounts or walked away with less than planned. Now is the time to reset.
- Recalculate how much you need for retirement as a single person
- Consider starting a Roth IRA or solo 401(k) if you’re self-employed
- Max out catch-up contributions if you’re over 50
- Reassess risk tolerance and asset allocation
🔁 Divorce doesn’t have to delay retirement—it just requires a smarter plan. Consortium specializes in rebuilding retirement paths for Louisiana divorcees.
👶 5. Create or Update a College Savings Plan (If You Have Children)
Child support doesn’t always cover college.
If you have kids, it’s time to revisit education planning:
- Open or continue a 529 plan
- Discuss college costs and responsibilities in your divorce agreement
- Start early—even small contributions grow
Consortium advisors help you align education goals with your new income level and parental obligations.
⚖️ 6. Manage Alimony, Child Support, and Taxes Smartly
Alimony and child support have different tax implications depending on when your divorce was finalized.
Know this:
- Post-2019 divorce agreements: Alimony is not deductible for the payer and not taxable for the recipient
- Child support is never taxable or deductible
- Keep meticulous records for all payments received and made
💬 Consortium’s financial professionals work with your CPA or legal team to make sure you’re planning for taxes correctly.
🧠 7. Get Professional Guidance So You Don’t Go It Alone
Divorce is complex. You’re navigating emotions, legal issues, and finances—all at once. That’s why we always recommend working with a fiduciary financial advisor who understands Louisiana law, retirement rules, and tax planning.
💬 Your Future Starts with a Plan
Divorce may feel like the end of something—but it’s also the beginning of your next chapter. With the right financial plan, you can protect what matters most, build wealth independently, and feel confident in the decisions you’re making for yourself and your family.
🎯 Ready to start fresh?
Consortium offers personalized post-divorce financial planning for residents of Slidell, Covington, and Mandeville. We’ll walk with you through budgeting, investments, retirement, insurance, and long-term wealth strategies—no judgment, just clarity.
👉 Book your free consultation today at
https://www.consortiumadvice.com/financial-advicing-and-wealth/
📚 References:
- IRS – Alimony and Divorce Tax Info
- Louisiana Department of Revenue
- National Endowment for Financial Education – Divorce Planning