4 Financial Mistakes That Could Cost You Everything in a Divorce
Everyone makes financial mistakes, even those that we trust with money the most. Rachel “Money Honey” Richards to many people online is the epitome of someone who has their finances locked down. She grew a massive real estate portfolio in her twenties, hit financial freedom before thirty, and has written bestselling books that others use to increase their financial acumen. And although Rachel still is a financially free money nerd like no other, her recent divorce changed most of what she knew.
Through a few simple mistakes, Rachel’s recent divorce dragged on longer, cost more, and left more up to chance than she would have liked. After going through the pain, struggles, and anxiety of leaving the marriage, Rachel wants everyone, whether single, dating or married, to not make the same mistakes she made. These mistakes are often small, and can be easily overlooked, but making them could be deadly to your finances and allow an unplanned divorce to bury you.
But this isn’t all advice on what to do before or during a divorce. Rachel shares personal advice on red flags you should look for when starting a relationship, how to separate your finances so you keep what is yours, and why overlooking a prenup can be one of the worst moves to make when starting your marriage. No one plans for a divorce, and Rachel didn’t as well. So happily ever after or not, these life-saving moves are ones you should be thinking about making.
00:00 Intro
01:26 Misaligned Visions and Getting Divorced
05:40 Signs of a Split
13:24 From 38 Doors to 2
18:09 Splitting the Assets
25:46 4 Big Marriage Mistakes
31:11 Get a Prenup!
37:32 The True Cost of Divorce
38:41 Lessons Learned
51:58 Connect with Rachel
Show Notes at:
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Past Episodes with Rachel:
Real Estate: https://www.biggerpockets.com/blog/biggerpockets-podcast-454-rachel-richards?utm_source=youtube&utm_medium=description&utm_campaign=none
Money: https://www.biggerpockets.com/blog/money-317?utm_source=youtube&utm_medium=description&utm_campaign=none
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Why You’re (Probably) Wrong About Prenups:
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Divorced and $250K in Debt to Financially Free in 10 Years:
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Grab Rachel’s Free Passive Income Starter Kit:
https://moneyhoneyrachel.ck.page/passiveincome
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Pickup Rachel’s Books:
Passive Income, Aggressive Retirement: https://www.amazon.com/gp/product/1706203020/ref=as_li_qf_asin_il_tl?ie=UTF8&tag=moneyhoney02-20&creative=9325&linkCode=as2&creativeASIN=1706203020&linkId=dcf601d1d5c46f5b7f1f460d3b665817
Money Honey: https://www.amazon.com/gp/product/B075HGM2WG/ref=as_li_qf_asin_il_tl?ie=UTF8&tag=moneyhoney02-20&creative=9325&linkCode=as2&creativeASIN=B075HGM2WG&linkId=0256b45fae14a9b44a8039d5678c216e
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Connect with Rachel:
BiggerPockets: https://www.biggerpockets.com/users/rachelrichards
Website: https://moneyhoneyrachel.com/
Instagram: @moneyhoneyrachel or https://www.instagram.com/moneyhoneyrachel/
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Mindy: https://www.biggerpockets.com/users/mindyjensen?utm_source=youtube&utm_medium=description&utm_campaign=none
Episode 364
#biggerpockets #biggerpocketsmoney #money364
Thank you Rachel for sharing your story. It was incredibly brave of you to publicly disclose such raw, intimate details of such a dark time in your life. I am sure in doing so you will help many avoid some of the pain that you had to endure.
😂 Marriage 😂
Thank you, Rachel, for your honesty. I did some of these mistakes and I wasn’t married. but this is one of the most powerful episodes I think I have heard on BP Money. And Mindy you are one of the best interviewers in how you can call out things like "no one is allowed to beat themselves up on my podcast". Thank you for being a great host that treats difficult subjects with such compassion.
You are so brave Rachel. Thank you for sharing us your story. I believe you can make more soon. Thanks a lot. Gentleman from Norway
After so many years…those dark moments taught me the most important things in my life. You are beautiful and brave. Soon you will be stronger and more beautiful than ever once you swim through this swamp. Thanks for sharing.
Women take more than 50% all the time.
I love this. Rachel is a winner!!!
Thank you for sharing your story with us Rachel, praying for healing 🙏.
Rachel, you are stronger than you will ever know. Like you said, no one can take away your knowledge, your intellect.
You may not be religious, but I think of Job in the Bible who lost everything, but got it back tenfold. I believe that you will do the same. Keep shaking the world up!!
Thank you for sharing your story Rachel. I’ve been through similar situation. May god bless you abundantly going forward.
Thank you for sharing your story. Your experience is very relatable as I have had a very similar experience this year. I appreciated your vulnerability and willingness to share your lessons.I was definitely able to recognize some things I can do better going forward. Wishing much healing and happiness in your journey.
People always get so angry with the female in divorce!
Everyone should protect their assets. Commingling and being on deeds and so forth. Do your research. Find out what a trust is.
Considering how wary most are of planning what happens when their life ends (wills, trusts, etc…) can see the weariness of planning what happens when one’s marriage ends.
Still tho, ~50/50 divorce statistic, worth considering a failsafe, not as your primary plan of action, but so if either party capsizes, is still realistic moving on with one’s life.
Brilliant episode as usual. And thank you Rachel for sharing, I learned a lot.
Thank you for a passionate and thoughtful gift and sharing. My heart and head is touched and I will share this with others. Pease and continued prospertity in all your healing ways.
Thank you so much for sharing your story. Great episode.