A woman sitting alone at a desk reviewing finances, representing single-income budgeting after divorce.

How to adjust to one income after a divorce

Image Credit: Vitaly Gariev / Pexels

Trying to navigate the end of your marriage is hard enough, but then there are the financial complications that come with a divorce. Maybe you’ve never managed a household budget alone, or you’re facing a significant drop in income now that you’re single. Whatever the reason, trying to figure out how to maintain financial stability while you’re dealing with the emotional fallout of a divorce can feel overwhelming. But you don’t have to solve everything at once, and you don’t have to do it alone.

Your new financial reality

Money problems can put a significant strain on relationships. Money Mentors’ Love & Money survey found that 47% of Canadians have had financial disagreements with their partner, and one in 10 say financial stress made them consider separating or divorcing. Whether financial issues contributed to your divorce or not, you’re now facing a new financial challenge – trying to figure out your new money reality.

Here are some practical tips to help you manage your money after a divorce.

Track your income and expenses

If you just went from a dual-income to a single-income household, you need to recalibrate. Review all of your monthly income streams. This might include your salary, side hustle, child support, spousal support, or government benefits. Add it all up to see what you’re working with.

Next, look at your expenses. Review the last three to six months of your bank statements and credit card bills to get a sense of how much you’re spending. If your divorce was recent, you might need to make some educated guesses on how much your new life costs as a single person.

For example, if you’ve recently moved into a new home, what are your new rent or mortgage payments?

The goal is to create a basic budget to help prioritize your spending.

Be open to a change in lifestyle

If you’re trying to maintain your same lifestyle – the home, vehicles, and vacations – that you had when you were living on two incomes, you might find this is no longer sustainable. From a financial and emotional perspective, this may be one of the hardest parts. You’ve already said goodbye to a lot, and it’s understandable if you don’t want to deal with more change.

To help with financial stress, think about how you might edit your lifestyle to make more room in your budget. Maybe it’s downsizing your home or vehicle, pausing vacations, or saying goodbye to subscriptions and memberships. It’s not forever. It’s just until you find your new financial footing.

Consider downsizing

Housing is often one of the biggest challenges when moving to one income. In 2025, the average monthly cost to rent a two-bedroom apartment in Calgary was $1,836 and $1,600 in Edmonton, according to the Canada Mortgage and Housing Corporation (CMHC). If you have a mortgage, consider the cost of property taxes, utilities, insurance, and maintenance. This might be hard to afford on one income.

For someone working through a post-divorce budget in Alberta, housing may be one of the first places to look for ways to reduce monthly expenses.

To help bring down your housing costs, here are some things to consider:

Downsizing: Moving from a single-family home to a townhouse or apartment can help reduce your mortgage payment.
Renting: By renting, you can get rid of property taxes, home insurance, and maintenance costs.
Living with a friend or roommate: By sharing your home, you can split the rent, mortgage, utilities, and other household expenses.
Refinancing: By replacing your existing mortgage with a new one, you might be able to lower your monthly payments.

Investigate benefits

Your new financial situation might qualify you for certain benefits or support that you couldn’t previously get.

Canada Child Benefit. If you’re the primary caregiver to kids under 18, you might be eligible for the Canada Child Benefit (CCB). How much you can get depends on how many kids you have, their age, and your income.
Alberta Child and Family Benefit. Available to lower- and middle-income families with kids under 18. You can use the government calculator to estimate your quarterly payments.
Canada Groceries and Essentials Benefit (CGEB). Previously known as the GST/HST credit, the CGEB provides tax-free quarterly payments to low- and modest-income individuals and families to help with rising costs.
Alberta income support programs. Available to eligible Alberta families who need help with the basic cost of living, like food, shelter, and clothing. Eligibility is largely based on your income and ability to work.

Ask for help

Going through a divorce can be exhausting. The last thing you want to deal with is your money and debt. But leaving it will only make the problem worse. The good news is you don’t have to do it alone. Our Certified Financial Counsellors can help you navigate this new chapter of your life. From creating a budget that fits your post-divorce reality to guiding you through the different debt relief options that are available, we’re here to help. When you’re ready, give us a call at 1-888-294-0076 or fill out our online contact form.