Lessons about Money for the Newly Divorced

A credit counselor and divorced mother shares money-life lessons gleaned from her own divorce. Perhaps just as valuable is the resulting sense of empowerment that shines through.

  1. Not all money is created equally. Generating income by your own wits and labors imparts a sense of self-worth.

  2. Debt is a gilded cage. It can bail you out, but it can also turn into something you need to be bailed out from.

  3. A budget is the lynchpin of financial planning for the near future as well as long term. Everyone should “take care of business”, such as having wills, insurance, powers of attorney, etc.

  4. You can’t buy happiness. And you can overspend your way to misery.

  5. Lending money to loved ones can damage the relationship. Where appropriate, a gift may be a less damaging option to consider.

  6. Yes, you should be saving money. For a rainy day. For retirement.

  7. Take a look at your credit report periodically. You may be surprised by what you find. In addition to the usual suspects everyone faces risk of, it can reveal things that slipped through the cracks of your divorce.

Read more in this article syndicated on Yahoo: 7 Things Divorce Can Teach You About Money.