No matter what age an individual is when he or she divorces, each is sure to face some periods of emotional and financial vulnerability. For baby boomers, though, discussions about finances might be a particularly stressful issue. Many have recently retired after working decades or have assets they are not looking to part ways with.
As if it were not already difficult for breadwinners that are divorcing to swallow the idea of having to split half of their assets with or having to pay alimony to their exes, imagine if they’re having to consider doing so as they’re looking to retire. At a time when monthly retirement payments are a mere fraction of what they were receiving while actively working, this can mark a very scary time in their lives.
For couples that have been together a long time or who have significant assets, they might find that looking to reach a divorce settlement via mediation is best. Not only do couples who pursue mediation have more of an active role in deciding the outcome of their divorces versus allowing a judge to do it, but it’s a much less emotionally draining option as well.
It’s a particularly effective option for baby boomers because it allows long-term couples an opportunity to work out an agreement regarding property distribution and spousal support in a much less contentious environment than they otherwise would. This, in turn, ultimately creates an environment that is less emotionally charged or stressful on the couple’s own adult children and their kids.
As an added note, baby boomers with impending divorces can greatly benefit during this time of change in their lives by using it to update their wills and overall estate plans. Particularly, they may look to change the beneficiaries of their policies to reflect their adult children’s names as opposed to their ex’s.
Also, if you’re pondering divorcing your spouse, remarrying is probably nowhere on your radar. Take the time to be educated as to the benefits of signing a prenuptial agreement. This will help you avoid many financial disputes should you choose to marry again.
If you are looking to gain a better understanding about what is involved in ending a marriage where high value assets, such as pensions and other investments, are at risk, an Indianapolis divorce attorney can provide guidance in your legal matter.
Source: Charlotte Business Journal, “When boomers divorce — what are the financial implications,” Elizabeth Hodges, May 08, 2017