Pennsylvania couples may be interested to learn that the divorce rate for those who are over 50 years of age has doubled between 1990 and 2010. Nonetheless, divorcing later in life can still have severe financial consequences for those who are older. Additionally, spouses who took time away from work to raise children may be financially disadvantaged if they do get a divorce.
One way to prevent potential financial trouble should a divorce occur later in life is to keep some form of financial independence during the marriage. This may mean keeping a separate bank account that the other spouse cannot access. If it appears that a divorce is on the horizon, connecting with a financial adviser before the divorce can help prevent financial struggles once the divorce is finalized. The adviser may help with cutting unnecessary spending so that the person can adequately save for their retirement.
One thing that many people fail to remember is that they will be responsible for their own insurance once they are divorced. Additionally, those who were married for at least 10 years and are single can potentially claim their social security benefits based on the spouse’s earnings. However, it should be known that there are limits to the amount of benefits that can be received.
The divorce process can be complicated and expensive. If a person does not have a financial plan for after the divorce, he or she could become financially vulnerable during his or her retirement years. A family law attorney may potentially assist with protecting a person’s rights during the process by helping them seek the assets that they are entitled to. Depending on how long the marriage lasted, a former spouse may potentially seek spousal support, retirement funds and other financial assets.