Divorce for couples over the age of 50 is much more common than it once was. However, later-in-life divorce also comes with an emphasis on financial issues.
If you are a member of the over-50 age group, here are four tips that will allow you to face divorce with more confidence and less stress.
Gather complete financial records
Put together lists of marital and separate assets and debts. Gather bank statements, credit card statements and loan documents. Determine what you spend money on, everything from food and clothing to home repairs and transportation. You will also need the last three years of your income tax returns. Provide these and any related pieces of information to your divorce attorney but keep copies for yourself.
Understand your current and future finances
Putting together the many parts of your current financial picture will help you understand where you have been financially, and where you are going. Remember that after the divorce you will have half the income you had during the marriage as well as half the assets. How much will you need to live on?
Remember tax consequences
Keep in mind that during the property division phase of the divorce, tax consequences will accompany your receipt of certain assets and some of these taxes could have an effect on your finances.
Consider long-term ramifications
As someone over the age of 50, you no longer have the luxury of time to plan a new retirement strategy or launch a new career. However, when you are well prepared, you will see divorce as more of a business transaction than an emotional roadblock in your life. Your focus now should be on entering the post-divorce world with a good handle on your financial security.