According to a study from Bowling Green State University, the divorce rate for U.S. adults ages 50 and older doubled in the 20 years between 1990 and 2010. When you divorce later in life, unfortunately, you have less time to recover from the economic hit. According to AP,” While the challenges of a so-called ‘gray divorce’ are similar to those of a divorce at any age, factors like limited working years ahead, complicated assets, adult children may magnify the difficulties.”
Retirement: Your gray divorce will have an impact on whether you will have enough money for a secure retirement. Older adults, particularly women who have spent many years out of the workforce, are unlikely to recoup the financial losses associated with divorce, said Georgia financial planner Terri Munro (AP). Alimony is less common than it used to be. Fortunately, if you have been married for more than 10 years, you’re entitled to half of your ex-spouse’s Social Security benefits.
Other routes to financial survival could be to delay retirement if you are working, returning to the workforce if you are not, downsizing your living quarters, and making major lifestyle adjustments. You may no longer be able to pay for your grown kids’ graduate school or weddings. You may decide to keep your house in your divorce agreement, and rent out rooms. You may decide to make ends meet by joining the “gig economy” and, for example, driving for Uber.
Your Home: Who will get the house? Although you may be emotionally attached to your home and its memories, keeping it may not be the best financial solution for you. Selling a home could provide a chunk of income for the years ahead, and living in a smaller home or apartment can reduce your costs significantly.
Women tend to want to get the divorce over with fast, and may not take the time to understand the financial implications. If this describes you, be sure to ask your divorce attorney for help in figuring out the best way to approach your divorce. Divorce financial analyst Aviva Pinto advises women ending a higher net-worth marriage to consider hiring a forensic accountant to ensure all assets are discovered. Pinto told U.S. News, an expert might discover “you’re entitled to a lot more than what he’s put down on paper. Then you’re in a better bargaining position.”
The seasoned family law and divorce lawyers at the McGrath Law Firm, founded by attorney Peter McGrath, will walk you through every step of the challenging divorce process to address your concerns and achieve your goals as efficiently as possible. From spousal support, child support, fault, and equitable division of property and debt to valuations, pre-nuptial agreements, and restraining orders, the experienced attorneys at McGrath Law Firm have a successful track record in all aspects of divorce law. Call us to schedule your consultation at (800) 283-1380.