Georgia readers know their decision to move forward with a divorce will greatly impact their future, especially if they are age 50 and up. The choice to end a marriage will signal may significant financial changes, including changes to retirement plans. If you are nearing retirement and facing divorce, it is prudent to take steps to shield your future interests.
Gray divorce is a divorce involving two people age 50 and over. These are financially complex divorces for various reasons. Perhaps you and your spouse were together for decades and have significant savings together. Maybe this is your second marriage and you are concerned about paying spousal support. No matter the details of your individual situation, you would be wise to proceed thoughtfully and carefully as you make choices that will greatly impact your future.
Older couples with complex financial concerns
Gray divorce is becoming increasingly more common. One reason for this is that people are living longer than ever, and many believe a divorce, even later in life, will give them the chance at happiness in the future. There is less stigma associated with divorce, which may also play a role in the increase in gray divorce.
One of the most complex factors of gray divorce is that it may take place near the time when you planned to retire. After the division of marital assets, you may find yourself with less money for your golden years. As you move forward, it may help to consider the following:
- An important consideration for you is to think about your monthly cash flow and how that will change after your divorce. You will also need to consider your monthly expenses.
- A gray divorce may mean you will have to delay your planned retirement date or adjust your plans for your retirement years.
- Marital property is subject to division in divorce, which likely means a portion of your retirement savings. It is smart to plan for how you will account for this loss.
It is tempting to allow the strong emotions you are feeling and fears you may have about your financial future drive your decision-making process during divorce. However, this is not always a smart approach. It is prudent to keep your focus on what will be best for you long term, not just in the moment.
Your financial future is on the line
There is a lot on the line during a gray divorce. You will find significant benefit in working with an attorney who can help you pursue reasonable terms that will work for you well into your retirement. This is a complex and emotionally challenging process, but you do not have to face it alone.