Recovering From the Financial Cost of a Break-up
By April Lewis-Parks
Ending a relationship with a significant other can be hard, regardless of whether you’re doing the breaking up or on the receiving end. But once you get over the hurdle and actually move on, the financial ramifications can still linger, especially if you were living together. Breaking financial ties with someone can be complicated, so it’s important that you set aside your differences to make smart financial choices that will help you get a fresh start.
1. Discuss what to do about your living situation
When you’re sharing an apartment or home with your former partner, deciding how to tackle the housing situation can be awkward. You may have more leeway if you have a lease, rather than a mortgage. Even so, you may both pay big if you decide to break the lease. Take some time to discuss your financial options with your ex. For instance, you may decide to part ways and break the lease for a fresh start, or try to sublet the apartment to unload your rent burden.
2. Split up the furniture
In addition to finding separate living facilities, you must also decide what to do with the furniture and appliances you purchased together. Finding an amicable way to decide who gets what is preferable, but if you can’t, you may need to speak to a mediator. You may also agree to sell the items and split the profits to be fair.
3. Take names off accounts
When living together many couples start put both names on certain accounts like cell phone accounts or as an authorized user on credit cards. Whatever the case, when a relationship ends, it’s time to remove your ex’s name from all accounts you shared.
4. Save, save, save
When you’re in a relationship, you both typically contribute to meals and other costs even if you haven’t merged accounts. Your new financial circumstances may be difficult to get used to at first, so it can be helpful to cut back on your spending until you acclimate. Instead of indulging in meals out with friends, invite them over for potlucks or game nights. These types of get-togethers may give you the support you need to get through the break-up without taking too heavy a toll on your wallet.