Baby boomers in Florida may not get the retirement they want if they get divorced later in life. The property division process can be complex for older married couples due to the need to split the value of high-asset accounts, including retirement accounts.
Twenty years ago, about one in 10 individuals who were divorced were over the age of 50. Now, this statistic has risen to about one in four. Getting divorced later in life comes with certain complexities, and this often results in the necessity of delaying retirement for several more years in order to recoup the loss that went to a person’s spouse. Another difficulty is that many older individuals have been out of the workforce for several years, making it more challenging to get back into it.
Baby boomers can take a few steps to protect themselves during the divorce process. For example, they can run a credit report in order to learn about their current financial standing. They can also start receiving their mail from a separate post office box in order to keep information private. Setting up an emergency savings account can provide funds in case of unexpected expenses. They can also learn about ways to supplement their income, such as receiving a spouse’s benefits through Social Security.
Baby boomers who are going through divorce may face several challenges with which they may need assistance. Lawyers may be able to provide assistance by informing baby boomers of their legal rights. They may recommend taking various routes to ensure a person can manage finances after divorce, such as including alimony in the award for an out-of-work spouse.
Source: Fox Business , “Divorcing Baby Boomers: How to Get a Financial Grip”, Donna Fuscaldo, April 30, 2014