Getting divorced can pack an emotional impact but your finances also can take a serious hit, especially where your retirement prognosis is concerned.
"Someone who has lately gotten divorced has merely been through a life-altering event that may have an important impact on all areas of their retirement planning," says Jay Ferrans, president of JM Financial & Accounting Services in Southfield, Michigan.
Girls tend to face the largest battle in saving for retirement after divorce.
After a divorce may be challenging keeping your retirement plans on track, but it is not out of the question. Your long term financial future finally hinges on making the right choices when you are saving for retirement solo.
Define your starting point. The initial step in revamping your retirement plan after a divorce is taking stock of where you're, according to Stacy Francis, CEO of Francis Financial and creator of New York nonprofit organization Savvy Women.
For instance, is the bulk of your savings in a 401(k) or another company-sponsored account? Do you have assets in a pension plan or an IRA? Comprehending what kind of assets you're working with, says Francis, is the first step toward regaining your financial footing.
The next part of the equation is figuring out how much of a shortfall exists between your savings rate that is current and your greatest retirement aim, says retirment experts. Get to know more about divorced singles online and share your experiences.