28 Mar Divorcing After 50 And My Retirement
Perhaps you are seriously considering a later-in-life divorce. Making such a move at this time of your life may undoubtedly offer you the freedom you are looking for from an unhappy marriage; however, it will also come with serious consequences you should consider. Young couples who have only been married a few of years can easily untie their shared assets and rebound from the financial setback. However, your situation is very different.
Should you decide to divorce at this time in your life, prepare yourself for the possibility that you may have to divide a lifetime full of shared assets. If you are not an extremely wealthy couple, this could prove to be an enormous financial loss. Additionally, what would a divorce do to your retirement plans? Will you have to push those dreams back?
There are a few points to consider if a divorce is looming at 50+.
A Divorce Could Mean Losing Half Of Your Retirement
If you are living in a community property state, plainly said, you will be forced to split your retirement savings in half. If you come to terms with this fact quickly, you will be well served so that you can readjust your retirement plans.
Very few women realize this, but if you were married to your husband for at least ten years, then you can qualify to receive Social Security Derivative Benefits from your spouse. This is equal to half of his Social Security benefits. If that amount is more than your Social Security Benefits, then you can take the derivative benefits instead of your own.
Another point to look into is if you are eligible for alimony. If you didn’t work during your marriage, or if he significantly out-earns you, then you have a good case for some alimony payments for as long as your spouse is employed. Just be aware that it may be possible for your husband to lower or eliminate his alimony payments when he retires.
Finding What Works After The Divorce
If you find yourself losing half of your retirement savings, you will need to try to play catch up by saving as much as you can. This means living below your means. It may be a good idea to consider downsizing your living situation or even renting instead of buying. The money you save each month can go into your retirement savings. Ramping up your retirement savings should be your goal.
Life After The Divorce
Knowing what you have saved up and how much income you can expect after retirement can help you come up with a new plan that fits your current situation. That may mean working for a few more years or living in a smaller place. There is no time like the present to sit down with a financial planner to help you re-imagine a retirement that fits your new life and the new you.
Divorce Attorney Jeffrey M. Bloom – West New York
We are in what some experts have called, the “gray divorce revolution.” More fifty plus year olds are seeking divorce than has been seen in recent years. If you are finding yourself in this situation of divorce, it is crucial to seek advice from an experienced family law attorney. Mr. Jeffrey Bloom has the background and expertise to help you through the complications of your divorce. Call his office at (805) 208-3650 for your consultation.