- Check in with yourself
Separating from a partner is a major life event regardless of whether the separation is amicable or acrimonious. Make sure that you take time to look after yourself mentally and physically. It might be a good time to think about engaging in counselling or to have a chat about your future with a life coach.
- Get your documents in order
It is likely that there will need to be some discussions in relation to the separation of your finances. This is a good time to start gathering your financial paperwork to aid your discussions. This process will also help you flag anything that needs to be transferred to your former partner, cancelled if not used or no longer relevant, or amended (such as beneficiaries on any insurance policies or pensions you hold). You should also make sure your contact details are kept up to date if your name/address has changed.
- Check your entitlements
Separation is a very challenging time financially as well as emotionally. There are suddenly two homes to think about instead of one, and only the same pot of money available to cover it. It is a time to get financially savvy:
- Check your Council Tax bill – If you are the only adult in the household, you can apply for 25% single person's discount.
- Check your Child Benefit eligibility – this may have changed following separation. Commencing with the tax year 24/25 the high-income tax charge does not apply for adjusted net income under £60,000.
- Check you are maximising your other entitlements – e.g., tax-free childcare, free childcare hours, universal credit, etc.
- Chat through your child maintenance options with the other parent – the Government has a useful calculator online to aid your discussion which you can find here.
- Plan for your future
You will need to consider refreshing your Will following separation. On divorce, any gifts made to your former spouse will be invalidated as will any appointments of them as an executor to your Will. It is also a good time to check in with a financial advisor to discuss planning for your future. This is particularly useful if you are receiving a lump sum or pension share as they will be able to share their top tips for how to invest this.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.