Getting old is tough, and many marriages suffer because of it. Divorce rates for people 50 and older are rising. As people’s life spans increase, there are more opportunities to grow apart. As kids move out and start their own lives, and women become more financially independent, there’s no longer a financial stigma attached to divorce.
Click here to learn how divorce can affect your finances after 50.
Financial Repercussions of Divorce
At an advanced age, divorce can be financially disastrous. The cost of living is higher for a single person who has no help with living expenses, and a late-term divorce can ruin even the best retirement plan. It’s harder for an older person to get and keep a steady, high paying job, and all of these concerns are greater for women, who end up living a lot longer on a substantially lower income.
Mistakes During Divorce
A divorce can shatter your vision of a perfect retirement, as you’re forced to pay legal fees and other bills. Protect your future by considering whether to retain the family home, and by knowing what you owe. In some states, you can be held liable for your spouse’s debts, even if they aren’t in your name.
It can be disastrous to go through a divorce without considering the tax consequences. During the proceedings, almost every decision you make can affect your tax situation. Should you ask for a lump sum or a monthly payment where alimony is concerned? Someone handling Tax Preparation in Tulsa, or an accountant, can help you make the right decisions.
Don’t put too Much Trust in your Lawyer
The amount you pay your divorce lawyer comes out of any settlement you may receive, and you should keep track of their expenditures during your case. Your lawyer isn’t a friend to talk to over a cup of joe; they’re pros who are charging you an hourly rate. Your accountant can help you monitor your lawyer’s spending, so you know just where your money is going.
There are a lot of considerations to make before ending a marriage, and money is one of the most important factors, especially for women who have been stay-at-home spouses. Divorce can be life-changing at any age, but if you plan carefully with Tax Preparation in Tulsa, you can protect your finances during and after the proceedings.