Divorce during any phase of your life is difficult. When you are younger, it may involve minor children. According to Arthur Comings of NerdWallet, when you are in your senior years, the division of assets and debts can be more difficult because you have spent a lifetime building them. Thus, it is essential that you work with a divorce attorney that is experienced in handling high value or complex assets. Common examples of assets that can be difficult to split include retirement accounts, pensions, lifetime investments and other similar types of property.
It can also be difficult to split an older couple’s fixed income that leaves both seniors with sufficient money to support their previous lifestyles. Thus, it is important for the couple to have a realistic understanding of their spending habits and sources of income in order to accurately determine what their financial position will be after the divorce.
Another consideration when divorce occurs later in life is the health of the spouses. Who will care for the ill spouse after the divorce? If that spouse’s income will be significantly reduced after the divorce, expensive health care costs can be devastating. It is important for divorcing seniors to take steps to preserve their investments, minimize their financial risk and cover their health care costs. Attempting to obtain health insurance when you are 60+ years is not an enjoyable task.
Divorce can also negatively impact older individuals at tax time. When you file single, you will likely be placed into a higher tax bracket at a lower income level. Additionally, if the couple has substantial savings in several retirement plans, it is imperative to confer with your attorney regarding a Qualified Domestic Relations Order (QDRO) to divide the assets. A QDRO is aimed at protecting the husband and wife from owing taxes when retirement funds are transferred from one to the other. If the QDRO is not written properly, however, it can result in costly tax penalties.
Men often find it difficult to find a divorce attorney who understands the unique male perspective on family law matters. If you are facing divorce or you have other family law needs, our legal team is here to help. Contact the Men’s Divorce Law Firm to schedule a consultation with a caring professional, and aggressive advocate for men’s rights in divorce, child timesharing (custody), and paternity matters.