A Personal Approach

For Personal Matters

The Law Office of Joshua B. James, LLC is a highly-regarded
firm equipped to tackle complex family law issues.

Financial considerations in divorce for older adults

On Behalf of | Jun 5, 2020 | Divorce

Couples in Alabama who decide to get a divorce later in life may face a number of challenges. After years of planning a retirement together, they will need to think about how the divorce is going to change their lives so that they can be better prepared to decide how property will be divided.

It is not uncommon for priorities to change. For example, one person may want to travel while the other might want to do community work. However, the first thing an individual in this situation should do is review their marital and individual assets. They should list all these assets and debts, including appraisal values for art, jewelry and similar types of property. Gathering documents, such as tax returns and property titles, can also be helpful. Some people may be concerned that a spouse will try to hide assets. There may be steps they can take to prevent this.

Dividing a retirement account can be complex. There are different rules for division in a divorce depending on whether the account is a pension, an annuity, an IRA or a 401(k). When thinking about what kind of a settlement they need and how that will affect their finances after divorce, people may also want to consider whether they want to be able to offer monetary support to children or grandchildren.

If the divorce is relatively amicable, people might be able to work out an agreement for property division through their attorneys instead of going to litigation. The adversarial process of litigation can be stressful, time-consuming and expensive, and the end result could be a division of property that neither party is happy with. Negotiation gives both individuals more control over the final agreement and allows them to work out creative solutions that suit their individual circumstances.


FindLaw Network