The Friendship Factor
If you have been part of a couple for a long time, it’s likely that most of your friends also have a spouse. Invariably, your friends will have a variety of reactions to your divorce, which may lead to some friends siding with your soon-to-be ex-spouse, some remaining your friend only, and some dropping out of your circle entirely. Be prepared to move on and make new friends after the split.
Probability of Alimony
If you’ve been in a marriage of a long duration, it is possible that alimony for the lower-earning spouse will be part of the divorce settlement and last for the rest of your life. Part of the arrangement could be to reduce the amount of alimony and raise your ex-spouse’s share of pension proceeds.
No Parenting Plan Needed
One positive aspect of divorcing at an older age is that you’re highly unlikely to have to make parenting plans and visitation arrangements. However, you will need to work out a support agreement if you have a disabled child that requires lifetime care.
Strategies for Savings Reduction
A reduction in financial resources happens in any divorce, but when you’re in retirement, the loss of resources can be even more painful. Today, the assets of divorcing spouses are split equally most often. You may want to keep the house, but doing so will reduce the liquid assets you’ll receive.
Tax experts advise keeping the taxation status of different funds in mind when splitting financial resources, as non-taxable funds such as 401(k) distributions will go a longer way than the same distribution out of a brokerage account.
If you’re contemplating divorce, you may decide that your ongoing happiness and peace of mind are worth more than the entirety of an investment account or a retirement pension. With a variety of assets to divide, it is more important than ever to seek strategic solutions that benefit your future. Utilize the services of an attorney to make the divorce process as smooth and quick as possible so you can move on to a new life.