In the United States, divorces between older adults (dubbed “grey divorce” by the media) are on the rise. There are many theories around why this trend exists, but regardless of the reasons, these types of divorces can come with unique challenges and considerations. While child support and custody may be less of an issue for older adults getting divorced, issues like retirement and housing could be central to the discussion. Here are some things Georgia individuals should carefully consider when working towards a divorce agreement later in life:
- Retirement – Splitting retirement savings is often central to divorce discussions in a “gray divorce.” In fact, it is not uncommon for couples to split right before or early into their retirement years because they visualize spending this period of their lives in different ways. Splitting assets 50/50 is usually the common way to go, but couples should discuss their unique circumstances and the requirements of their pension plans carefully when parting ways.
- Cost of living – Simply put, running one household is less expensive than two. Considering this fact, some lifestyle changes might be required for a smooth divorce; for example, selling the marital home and renting a smaller space.
- Taxes – Single retirees may face a different tax situation than before their divorce, depending on what types of assets they have and where they live. Considering these burdens as part of a post-divorce financial plan is important.
While these are mainly financial issues, there is a legal component insofar as the distribution of assets during the divorce. Doing the math on these issues can help people to come to a negotiation table clear-headed and aware of what they need and are entitled to. In situations where one spouse significantly out earned the other during the marriage, grey divorces can be especially testy; however, there are some legal standards to guide these matters. A Georgia lawyer experienced with the many intricacies of family law can help to clarify the process and legal entitlements at hand when entering this kind of divorce.