Residents in Broward County may already be aware that the U.S. has a high divorce rate, and some folks may not be as surprised now as they might have been in the past to learn that a couple who has been married for 30 years is now planning to divorce. While the divorce rate remains high, more and more couples who have been married for several decades are now choosing to divorce. USA Today reported earlier this week that twice as many people who are 50 or older are now choosing to get divorced compared to 20 years ago.
Although this tidbit of information regarding divorce in the U.S. may not be all that troubling to some, what is troubling is that divorce may have far more serious financial consequences for older folks compared to younger folks. According to one financial planner, the cost of retirement may increase by up to 50 percent for Baby Boomers who divorce. It is important for anyone who is seeking a divorce in Florida to consult an attorney who will know how to protect their interests and finances, but it may be especially important for older individuals who are nearing retirement or face additional financial risks when going through a high net worth divorce to seek counsel from a divorce attorney.
When a couple divorces in Florida, the couple’s marital assets will be divided equitably between both spouses. In order to make sure assets are divided in a fair manner, though, each spouse will want to make sure they have accounted for all assets and that all assets have been properly valued. In addition to making sure spouses protect their finances during divorce or a high net worth divorce, older folks will also want to make sure they work with their divorce team to create a solid post divorce plan that will help them ease into retirement.
Divorce may affect one’s retirement plans, but it does not mean that older divorcees will not be able to retire when they would like to. In order to maintain financial stability after divorce, folks will need to make sure they reach divorce settlements that are fair. They will also need to make sure they understand how living as a single person will affect their finances and how they can change their saving and spending habits in order to retire when they want to.
Source: USA Today, “Boomer divorce: A costly retirement roadblock,” Rodney Brooks, Feb. 26, 2013