Divorce is something that can occur at any age. In fact, over the past 20 years, the rate of adults over the age of 50 who have split from their spouses has doubled. The term grey divorce is used to describe someone who has ended their marriage once they hit age 50 or higher. What are some mistakes that older people make in divorce that may hurt them in the long run?
One thing that may hurt financially for someone who has gotten divorced is to fight for sole ownership of a home that was purchased during the marriage. Although a home may have emotional value, other assets may be more valuable financially. In addition to other assets potentially being worth more, the cost of maintaining the home, paying a mortgage and keeping up with property taxes can make the prospect of keeping a home less appealing.
Another item that can hurt those going through a divorce is not planning for life after the divorce from a financial perspective. It is often beneficial to hire a financial planner as well as a forensic accountant to make sure that assets are divided properly at the time of the divorce. By talking to financial advisers ahead of time, it may be possible to maximize the amount that a person walks away with after a divorce.
Talking to a divorce attorney may make it easier for anyone going through such an event to protect themselves financially. As a divorce is often an emotionally draining experience, it may be beneficial to have an outside advocate who will ensure that the rights of an individual are preserved throughout the settlement process. An attorney may also be able to recommend financial advisors or others who can work to ensure that all assets are disclosed and properly divided according to state law.
Source: Forbes, “The Big Money Mistake Divorcing Women Make”, Kerry Hannon, July 03, 2014