When imagining your life as a retiree, you probably don’t imagine divorcing your

spouse. But in the past twenty years “gray divorce,”(people who are divorcing after 50)

has doubled its numbers. 

You and your spouse made long-term plans and goals and enrolled together for

retirement plans that you can use when you reach the so-called Golden Years. When

these dreams are replaced with the task of divorce, division of your plans is complex

requires serious financial thinking.

Going through a gray divorce is not only an emotional and mental process, and it

requires financial arrangements. Check these tips in order to to avoid these financial

mistakes.

Budget

You probably shared expenses and had a good grasp on your budget together. Divorce

will significantly change your spending habits. Make sure that you don’t overspend and you can even create a list of your daily

expenses. 

This way, you’ll track your spending and know when of your budget. The court would be on your side in getting a better settlement

amount if you can prove yourself to be reliable with money.

Inflation

Always take inflation into account when confirming a financial settlement. You could probably purchase a lot of things for $10,000 in today’s value, but due to the rise of cost in

living expenses prices of are constantly rising realize that the cost of maintaining the

said properties will also rise.

Liabilities and

Expenses

Consider the liabilities and expenses that are hand-in-hand with negotiating your

settlement. Consider the long-term effect of the what you arrange. Already decided who

should own the house?

Also discuss arrangements of splitting the expenses that come with maintenance. Older

divorced spouses have different needs such as medical needs, such as healthcare plans

and pharmaceuticals.

Alimony

Being in your 50s lessens your chance of obtaining a reliable source of income so the

other party may take this into consideration when deciding the alimony arrangement. Each state calculates alimony differently.

One thing to consider as well for the alimony settlement is that the other party may no longer have the capacity to earn, hence a

long-term plan should be considered.

Make sure that it would be beneficial to both parties whatever the arrangement is. Even if

you’re not married, the divorce should not cause you endless distress. Try to maintain a

well-balanced life after the end of their marriage.  

Keep these tips if planning to divorce so thatyou will not have financial complications.

Contact Jeffrey Ingros for more retirementplanning tips.