Taking Control of Your Financial Future After Separation
The end of a relationship brings more than emotional challenges – it often means navigating a complete financial reset.
In particular, if you're a woman over 40 facing separation or divorce in New Zealand, you're part of a significant group making this journey. Each year, over 8,000 marriages are dissolved in NZ, with the median age for women being 44 years.
If you’re suddenly single at this stage of life and feeling unsure about where to start, know this: you are not alone, and there is a path forward.
At Athena Wealth, we specialise in empowering women to take control of their finances, establish clarity, and confidently plan for a secure future. Here’s how you can start untangling your finances, step by step, and regain control.
The Hidden Financial Impact on Women
These numbers tell a story that many women already know through experience:
Women in NZ retire with 20% less in KiwiSaver than men
The lifetime earnings gap can reach up to $300,000
The gender pay gap still sits at 8.2%*
These statistics aren't just numbers – they represent real challenges that need real solutions. Whether you've been managing the household finances for years or this is your first time taking control, understanding your position is crucial.
Five Essential Steps to Untangling Your Finances
Step 1: Understand Your Financial Picture
The first step is to get a clear view of the financial landscape you shared with your former partner. This includes:
Gathering Key Documents:
Bank statements
Loan agreements (e.g., mortgages, car loans)
Retirement accounts and KiwiSaver contributions
Investment portfolios
Insurance policies
Tax returns (both personal and business, if applicable)
Property deeds
Assessing Assets and Debts:
Create a list of all joint and individual assets, such as property, savings, and investments, as well as debts, like credit cards or personal loans.Tracking Income and Expenses:
Understanding your current cash flow will help you plan your immediate and long-term needs.
💡 Pro Tip: If gathering these documents feels overwhelming, start small. Focus on one area, like banking, and then move on to other assets or debts.
Step 2: Know What You’re Entitled To
In New Zealand, the Property (Relationships) Act generally states that relationship property—including assets and debts—is split equally for couples who have been together for three years or more. However, exceptions exist, particularly for property acquired before the relationship or inheritance.
Step 3: Prioritise Your Financial Needs
Now that you’ve assessed your financial position, think about your immediate and long-term goals. This may include:
Emergency Fund: Building a buffer for unexpected expenses (aim for 3–6 months of living costs).
Housing Decisions: Can you stay in your current home? Should you downsize?
Retirement Planning: How will this change affect your KiwiSaver or other retirement plans?
Health Insurance: Ensure you have adequate coverage for yourself and any dependents.
Step 4: Build a Financial Plan for Your Future
This is your opportunity to take control of your financial future. A financial plan tailored to your new life circumstances will:
Map out your monthly budget.
Address debt repayment strategies.
Create a pathway to achieve personal goals, such as travel, education, or owning your own home.
Help you invest wisely to grow your wealth.
Working with a financial planner who understands your unique challenges can make this process much smoother. At Athena Wealth, we believe that every woman deserves a clear roadmap to financial independence.
Step 5: Find Your Support Team
Navigating a separation or divorce is not something you have to do alone. Surround yourself with a support team, which may include:
A family lawyer to guide legal proceedings.
A financial planner to help you make informed decisions.
A therapist or counsellor to support your emotional wellbeing.
Having experts in your corner, who understand your needs and advocate on your behalf during negotiations, can provide peace of mind.
Looking Forward: Your New Chapter
Remember, taking control of your finances isn't just about survival – it's about creating the foundation for your new life chapter. With the right support and guidance, you can:
Make informed decisions about your assets
Build confidence in managing your money
Create a sustainable financial plan
Secure your independent future
Take the First Step
You don't have to figure this out alone. At Athena Wealth, we specialise in helping women just like you navigate this transition with confidence and clarity.
Ready to take control of your financial future? Contact us for a confidential discussion about your situation. Together, we'll create a clear path forward that gives you confidence and peace of mind.