Separation – what am I worth?
Going from two incomes to one can be extremely daunting; especially if you haven’t always had a hand in managing the finances. Even more so if you don’t have your own income stream.
It’s worth spending some time researching or seeking advice to find out what your financial position might look like. If you arm yourself with some knowledge, it will help prepare you for any subsequent meetings with professionals. You can often get a free half hour consultation with a Solicitor and it makes sense to use the time wisely and arrive prepared.
Here are 5 areas to consider:
- Benefits: now that you’re single, are you eligible for any benefits? Visit www.entitledto.co.uk to see if you can start claiming.
- Council Tax Reduction: Check with your council to see if you’re eligible for a discount which will reduce the Council Tax you pay. This can be done online through the Government website.
- Child Maintenance: if you have children you can calculate what child maintenance you might be able to receive.
- Pensions: Few people think of their pension when their relationship comes to an end. But, depending on the circumstances, understanding the effects could make a big difference to your pension provision. Pensions can be included as assets in divorce financial settlements. It’s therefore important that you get a good understanding of your pension entitlements and the impact of any settlement that you make upon your pension benefits. Or you may find that your pensions benefits may be significantly different than what you expect when you come to retire. (We can assist with this)
- Assistance with the cost of childcare: you may be entitled to some or more help with the cost of your childcare as a single person. You can receive up to 80% of your childcare costs through tax free childcare or claim back up to 85% of your childcare costs through the universal credit system.
Care should be taken if you are already in receipt of certain benefits. Applying for a change cannot be reversed and could see you at a financial loss.
No matter where you are on your journey and for more information, please get in touch with our team.