Monetary considerations for older couples contemplating a divorce

In fairy tales, once upon a time typically leads to happily ever after. Real life rarely works out that way. In fact, many marriages do not last, including ones that have endured for decades. For any number reasons, some Colorado residents may be considering a later-in-life divorce.

More and more couples aged 50 and over are choosing to end their marriages. Along with these decisions comes many financial considerations. One vital concern is whether income that was used to pay for one household can be spread to cover the expenses of two households. Along with the pressure of making that income go much further is the fact that it may be decreased even more once a wage earner retires.

There may be other details that each spouse may need to handle. Life insurance and retirement policies might need to be updated. Once a divorce is finalized, then beneficiary changes on each policy may be appropriate. Likewise, estate plans may also need to be updated. If a spouse was named as an heir, then wills or trusts may also need to be changed to reflect the change in life circumstances.

Another consideration is whether a former spouse is named as the health care proxy on a power of attorney. If one does not wish for an ex wife or ex husband to make these important decisions, then a different individual may be chosen and the documents updated. These and other divorce issues are best handled by seeking the assistance of a Colorado family law attorney during this emotional and stressful time.

Source:

bizjournals.com, “When boomers divorce — what are the financial implications?“, Elizabeth Hodges, May 8, 2017