Getting Started:  Finding Your Post-Divorce Income

Getting Started: Finding Your Post-Divorce Income

October 28, 2020

As you prepare for divorce, it is essential to calculate the numbers of your life. Increasing your financial intelligence will dramatically drop anxiety levels and help you keep focused on your divorce goals.  The next step in the process is to determine how much post-divorce income you will have and compare it to your budget.


To figure out your post-divorce income,  Divorce Analytics analyzes:


  • All Income Sources.  As we transition from two incomes supporting one household to two incomes and two households, carefully planning is essential to ensure financial viability. To begin, a total analysis is taken of all income sources to determine the total amount of earned, passive, residual, and portfolio incomes. Most people are only familiar with earned income which has the highest tax bracket. Through thoughtful analysis, we determine the right way to harvest income and reduce taxes along the way.

  • Tax Consequences of Divorce.Next, we examine the tax consequences of the divorce. Using specialized software, I illustrate different filing statuses and help clients understand the resulting tax changes precepted by the divorce. Thoughtful tax strategies help clients determine what is best for their situation.


  • Payment Frequency. Another area to analyze is the frequency in which a client is paid. Is it biweekly, semi-monthly, or monthly? Failing to properly calculate the payment frequency can result in a shortfall of monthly income.


  • Child Support and Alimony. Total income impacts support calculations and is incredibly important to get right the first time. Support often has structured reductions in cost and it is important to plan ahead for those.


After determining the amount of income you will have in life after divorce, we compare it to your post-divorce budget. We brainstorm different ideas until landing on a income strategy that best fits your life. By working with a divorce analyst, it ensures that all financial aspects of the divorce are being properly managed and clients can rest assured that they are headed into the next chapter of life with a head start.


It can be easy to get frozen in fear during this step. Your current financial habits are laid bare. You might not have to change any patterns. However, some divorces were caused by a financial unbalance. You may have significant changes and hard decisions to make. Regardless, find it within yourself to look fear in the face and keep going. This is the beginning of the rest of your life. 

If you or someone you love is facing divorce and fearful of all the unknowns, have them call me at 402-430-3092 or email We are here to help!

Please note: This is general knowledge and is not tax/ legal/ or financial advice. Work with your professional team to find out what is best for you.