Managing money

If you were not married or in a civil partnership, then a new relationship will not impact on your financial rights or obligations towards your former partner.

The cost of bringing up children increases as they get older. Try talking to your child's other parent to see whether you can agree an increase in the level of maintenance that is being paid. If you cannot agree and the level of maintenance being paid has been set according to a CSA agreement (see If you have children), then you should speak to a solicitor to see whether it would be possible for you to ask the court to increase the amount being provided. There are only limited circumstances where this would be possible (see If you have children - when to use a court).

You will need to deal with joint bank accounts as part of any financial agreement or order. Usually these are closed or transferred into the name of one of you. You and your spouse, civil partner or partner will use accounts set up in your sole names moving forwards.

It may be sensible not to take out any further loans until the financial agreements have been finalised, unless you have no other option. For information on dealing with your home, see Living arrangements.

Splitting up means each of you will have your own household. It often means getting used to living within a different budget.

Running two households from assets and income that used to run one may mean that your standard of living may fall. This section offers ideas to help you keep track of your day-to-day income and outgoings so that you can meet your day-to-day expenditure

If you were not married or in a civil partnership then a change in your capital position or that of your partner is unlikely to give rise to any financial claims between you, although it may be possible for you to make further claims on behalf of any children (see if you have children)

If you were not married or in a civil partnership, then if there is a change in the income of either you or your former partner, you would not be legally entitled to make claims for maintenance against each other.  However, you may be able to increase (or reduce) any maintenance payable for the benefit of any children either through the Child Support Agency or through the court (see If you have children).

The death of a former partner, spouse or civil partner can be a very difficult and distressing time. There can also be an immediate impact on your financial position.

If you were living together but never married or formed a civil partnership, loans and liabilities are the sole responsibility of the person in whose name they are in and the other partner has no legal obligation to help the other meet these.

You and your former spouse, civil partner or partner will need to draw up a budget to help you, your lawyer, mediator or the court (if you were married or in a civil partnership), decide how much you will each reasonably need to live on. This will help you to divide the available income in a fair way. It will also help you manage while the final settlement is being sorted out and also help you see how much you are going to need in the future. Our Cut-back calculator may help you do this.

Reaching an agreement with your partner is not necessarily the end of the story. You need to make sure that the terms of the agreement or court order are carried out. If one of you does not comply with the agreement, and if you are unable to sort out any dispute or misunderstanding (either directly or with the assistance of solicitors) then it is possible that an application would need to be made to court.

Financial abuse can take many forms from running up debts in a partner's name to denying a partner access to their wages.

Becoming financially independent is not always straightforward. You may have to deal with problems from your relationship for some time after it is over and it may be difficult at first to get your own finances into shape.

It is quite possible that in the months and years following a financial settlement, your or your spouse, civil partner or partner's circumstances will change in ways that could impact upon the financial agreements in place.

Make sure you have the types of insurance you need and your policies provide the cover you need.  For example: