COLORADO SPRINGS – Every year thousands of couples in the United States end their marriage and it’s a change that can take a toll not only on people’s emotions, but also their finances.
Carl Carlson, CEO of Carlson Financial, has some tips to help people stay fiscally secure as a single person.
Carlson said, “It’s a tough time so there’s a lot of changing going on there and there’s a lot of stress going on there.”
With all the pain of ending a marriage, sometimes, dealing with the financial aspect can make it even worse.
“You’re starting your life over a little bit and you just need to make sure you’re doing it right.”
He said you should start by meeting with a financial advisor and make a plan for your future.
“You have to start thinking…that you’re income is going to go down and your expenses may very well go up.”
Until you get your affairs in order Carlson said, “You need to kind of freeze your discretionary spending for awhile so that’s things like new clothes, eating out, entertainment.”
After that, it’s time to look at areas where you could potentially make more money whether that be getting a new job or downsizing your living situation.
Carlson said doing these things sooner rather than later “will give you some comfort, alleviate some of the stress.”
Carlson also recommends that as a single person you have disability insurance set up in the event you can’t work and need income. Also, build up an emergency savings account for yourself.
Carlson Financial is a sponsor of Financial Focus.