Take control of your financial future with Penny Calling Penny!

    How To Start Over After Divorce With No Money?

    Disclaimer: Penny Calling Penny is an affiliate website. This means that we get a small commission when you click some of the links in this article. Don’t worry – we’ll never recommend anything we wouldn’t use ourselves.

    D ivorce can be pretty stressful, albeit super expensive. The ebb and flow of a divorce process can be a rollercoaster, and it can shake you to the core emotionally and financially.

    A divorce can cost an average of $10.6K—according to Nolo— which means that it can create a substantial financial dent on your accounts.

    But not to worry; you can start over after your divorce and get on excellent financial ground. It can take time to be financially stable after a divorce, but it is achievable.

    With that in mind, if you’re looking for ways to help you rebuild your finances after a divorce with no money, you’re in the right place. 

    How Does Divorce Affect Your Finances?

    A divorce can create a massive dent in your finances. And it can be tricky if you depend on your spouse financially, a stay-at-home parent with no job, or both.

    It can take some time to get back on your feet financially after a divorce. According to Reuters, one study found that it can take up to five years to recover financially after divorce.

    Below are ways in which divorce can create substantial financial implications.

    1. Court and Attorney Costs

    Litigation fees are one of the most significant divorce impacts on your finances, and you will pay more than attorney fees during your divorce process. Furthermore, it can be pretty pricey if you and your ex-spouse contest child custody or possessions.

    The research by Nolo —a legal Encyclopaedia— shows that divorce attorneys can charge anything between $100/hr to $400/hr.

    A divorce case without things to contest in court can cost $4k on average. If the spouses settle their disputes with the help of a lawyer, it can cost an average of $10.6k.

    The costs doubles if the parties move to trial, costing up to $20.4k on average.

    Consulting an attorney costs $4.6k on average.

    And if you add other legal fees like filing fees, the costs could skyrocket.

    You could feel the financial pinch deeper if you have little or no income during the divorce process.

    2. Health and Vehicle Insurance

    Health and vehicle insurance is another area that can suffer the consequences of a divorce financially. 

    For instance, your ex-spouse might remove you from their health insurance coverage once you finalize the divorce.

    And this means that you have to look for your health insurance options to cover you.

    After divorce, some health insurance options include getting one through your employer, private insurer, or the government.

    Furthermore, moving out of your shared home to a new residence means that you’ll have to change your vehicle’s parking. And this means that you will have to get a separate vehicle insurance policy.

    3. Your Debt and Credit Score

    Another financial aspect that could be hit hard by divorce is debts and credit score. If you accrued debt while married, you might be responsible for clearing some of those debts. 

    Chances are, the court will divide your debts accordingly, and this means that you will have to start over with debt.

    Also, you might need to make hard inquiries—during the divorce process— with credit reporting agencies which ultimately can hurt your credit score.

    Furthermore, removing yourself or your spouse from a joint account can lower the overall average age of your accounts and impact your credit score.

    4. Child Support

    If you and your ex-spouse have kids together, child support might come into the picture. Depending on your divorce case outcome, you might have to pay child support which means you need money to cater for your children.

    On the flip side, if you are the one receiving child support, it might not be enough to cover all your children’s needs. And this means that you need to consider creating an extra source of income to support your kids.

    Divorce can also have financial consequences on your savings and taxes. And all these plus other factors can hit you hard financially.

    Below are tips to help you start over after divorce with no money.

    Coping Tips to Recover Financially After a Divorce

    The soul-sucking and financially-straining divorce process is now over. How do you pick up your —financial— pieces and move on? What is the best way to survive without money after divorce?

    A myriad of these and more questions can run through your mind when starting over after divorce with no income or savings to support you.

    1. Take Time to Recover Psychologically and Financially

    Divorce is a notable life event that can take you quite a while to adjust, and the transition can come with mental and financial hurdles. It is vital to take your time to process all the events before, during, and after your divorce.

    There is no one-size-fits-all timeline to heal emotionally and financially after a divorce.

    Doing life alone can sound quite intimidating, and you need to take time to adjust, heal and accept the new stage in your life.

    Remember, your health and well-being are a priority. Lean on your support system and accept all the help you need to go through this new phase.

    Audit your expenses and review your new budget once you’re ready.

    2. Create a New Monthly Budget

    The first step to moving on financially after a divorce is to create a new monthly budget. Chances are you are stuck with more expenses and little to no income to cover everything.

    Work out a new budget that fits your current financial situation—even if it means downsizing. 

    Changing your money spending habits can seem impossible, but it is doable, and it can help you avoid financial pitfalls like huge debts.

    At this point, your goal is to meet life’s basic needs without struggling.

    Setting a new monthly budget is equally vital even if you earn an excellent income. The court might decide that you should pay child support or alimony to your ex-partner.

    If you’re not used to budgeting for a household, it is pretty tricky to create one for yourself.

    Luckily you can consider using budgeting apps like YNAB (You Need A Budget) to create a new realistic budget.

    YNAB can help you take control of your money—no matter how little— and align your financial goals.  

    Another excellent option for you is to consult a certified divorce financial planner to help you figure out your after-divorce financial planning.

    3. Look for Financial Support from Local Communities and Government

    Applying for financial support from your local communities or the government is another option you can consider.

    Starting over with no job or a place to put your head can be depressing.

    The government can help you get food and housing to have time to find a job and put your life on the right path financially.

    Also, government support can help you save some money if your paycheck is stretched thin.

    Another option is to apply for tax relief to help minimize your tax liability as a divorcee. The money you save from taxes could go a long way in helping you meet your needs, settle debt, and save.

    You’ve got this, and you can rebuild your life and thrive again. Take this phase as a temporary setback and focus on living a fulfilling life.

    4. Sell Things that Remind You of Your Failed Marriage

    After your divorce is over, chances are you might have some items awarded to you after the settlement.

    Often such things can bring bad memories from your failed marriage. 

    Offload the emotional baggage that comes with things you owned in your previous marriage by selling them. 

    Convert stuff you owned in your previous marriage to cash by selling them online or offline.

    Some typical items to sell after divorce include furniture, appliances, electronic devices, jewelry, art pieces, clothes, shoes, etc.

    Selling significant properties like your house and vehicles depends on the case outcome. If you get to keep the family home but don’t want to live there, you can consider selling it and getting a new home.

    It is easy to sell stuff these days. For instance, you can consider listing everything you want to sell on Facebook Marketplace, Instagram, or post a TikTok video to get people to buy them.

    Alternatively, there are many places online to sell your pre-owned items. Gazelle, for instance, is an excellent place to sell your pre-owned consumer electronics.

    eBay is another best online marketplace to help you convert your pre-owned stuff to cash to help you start after divorce.

    The money you get from selling pre-owned stuff can help boost you as you start a new chapter in your life.

    5. Learn a New Profitable Skill

    If you’ve been out of work for quite a while, it can be pretty hard to get a new job and start working again.

    The best way to kick-start a career after divorce is to learn a new profitable skill.

    Learning a new skill can help boost your qualifications and make it easy to get a job.

    Additionally, some skills can help you start lucrative online hustles that you can do remotely.

    There are many high-income skills that you can learn, like coding, digital marketing, sales, copywriting, web design, SEO, and much more.

    And the exciting news is that you can learn a new skill online for free or purchase premium courses.

    Google, for instance, offers free courses on digital marketing and much more.

    Remember, focusing on building your career after divorce is the best way to keep yourself busy.

    6. Start an Online Side Hustle

    Creating an online side hustle is easier now than ever. You can focus on building an online business to help you generate some income.

    An online tutoring business, for instance, can earn you up to $844/week on average.

    You can also consider other online side hustle ideas like blogging, freelance writing, affiliate marketing, virtual assistance, drop shipping, etc.

    Most online side hustles require specific skills, so equipping yourself with new skills is indispensable.

    Get on the internet and research side hustles that interest you.

    7. Take on a side job

    If your job doesn’t provide enough to sustain you after divorce, you can consider working another job on the side to generate more income.

    You can join and offer rideshare services or start as a delivery service business.

    Another option is to freelance on online marketplaces like Fiverr. You can offer social media management, proofreading, editing, graphic design, and much more.

    Additionally, you can consider baby or pet sitting as a side job at a per-hour rate.

    You can pull through after divorce with no money. The most crucial thing is creating an income-generating hustle, budgeting your income, and saving some money for the rainy seasons.

    Also, focus on building your creditworthiness by paying off debts.

    Hopefully, the above tips can motivate you to take charge of your financial life after divorce. 

    Leave a Comment

    Inline Feedbacks
    View all comments



    "Budgeting has only one rule: Do not go over budget."

    Leslie Tayne

    You May Also Like

    You May Also Like