A friend months back narrated to me how she and her got divorced. Though still surprising, to me, her mother was devastated on hearing the news because she loved and trusted the ex-husband completely.
Here's some free advice: Don't ever trust your spouse with all your finances.
I was moved to put this up and believe me, staying back at home with your mom again is never the best of ideas. Even though your husband is very wealthy and powerful, you still should have some sense of control. Here are a few things you should do, to keep it from happening to you.
#1. Have 'ready money.'
If you don't work, and all of your money is held in joint accounts, your husband can strip them bare without your knowledge or permission. Then he can file for divorce and you're having to ask your parents for a loan to give an attorney a retainer. (Ask me how I know...) Start siphoning off money. When you get groceries, get $20 cash back and tuck it away. Every time you pull out money from the ATM, pull out extra and add it to your stash. Your parents or in-laws give you a check for your birthday or Christmas? Save half of it. Don't tell anyone about it.
I was moved to put this up and believe me, staying back at home with your mom again is never the best of ideas. Even though your husband is very wealthy and powerful, you still should have some sense of control. Here are a few things you should do, to keep it from happening to you.
#1. Have 'ready money.'
If you don't work, and all of your money is held in joint accounts, your husband can strip them bare without your knowledge or permission. Then he can file for divorce and you're having to ask your parents for a loan to give an attorney a retainer. (Ask me how I know...) Start siphoning off money. When you get groceries, get $20 cash back and tuck it away. Every time you pull out money from the ATM, pull out extra and add it to your stash. Your parents or in-laws give you a check for your birthday or Christmas? Save half of it. Don't tell anyone about it.
#2. You need your own credit.Get a checking account in your own name at a bank different than you already have. (Stash the ready money there.) Yes, the money in there is a joint asset, but it can't be withdrawn by anyone but you. It's safe. Go paperless- you don't need statements sent to the house, do you? Then, get a credit card in your own name. Use it, pay it off every month (see: checking account) and then you'll be a step ahead of the game should anything happen.
#3. Make an inventory of all of your and your husband's financial accounts.Do you have a whole life insurance policy? Do you have a brokerage account? Make a copy. Keep it in a safe place- a friend, your mom's, a safety deposit box (remember the advice about using a different bank?) and update at least once a year.
Also read: How to build wealth on a small salary
#4. Read your tax return before signing it.
Sounds like common sense, right? Now, i tell you, my friends ex-husband always picked a time when she was insanely busy to tell her, she had to sign it and she'd quickly flip through and sign next to the yellow arrow post it note. It was quite a revelation to learn that we had more money that I realized.
Sounds like common sense, right? Now, i tell you, my friends ex-husband always picked a time when she was insanely busy to tell her, she had to sign it and she'd quickly flip through and sign next to the yellow arrow post it note. It was quite a revelation to learn that we had more money that I realized.
Also read: Silent rules to break to stay wealthy
#5. Ask for information
If your husband does all your finances (like her's did. Hey, he had a MBA with a concentration in finance, right?) ask him to go through it all with you. If he refuses, start pulling $40 out every time you go to the grocery store.
If your husband does all your finances (like her's did. Hey, he had a MBA with a concentration in finance, right?) ask him to go through it all with you. If he refuses, start pulling $40 out every time you go to the grocery store.
Also read: How to build wealth from scratch
Bonus! Keep your resume up-to-date.
You never know when you'll need it.
You never know when you'll need it.
All of this sounds reactionary and distrustful, and it is. You simply can't assume your spouse will always want to remain married or, if you divorce, he will look out for your best interests like he did (or you thought he did) during your marriage. That's kind of the point, right?
She was handed divorce papers in the middle of a marriage counseling session. When she went to buy groceries she discovered my ex-husband had stripped every penny out of their accounts. It was the beginning of a war that is unending and I think sometimes it will only end when you die.
I don't trust very easily, i guess you too should have a rethink.
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