Gray divorce, which refers to the number of adults age 50 and above deciding to end their marriages has increased by over 109% in the last quarter of a century. There are many different reasons contributing to the rise in gray divorce.
The couple’s purpose can change when adult children move away, new opportunities are embraced by those for living longer, women are becoming more financially dependent enabling them to make decisions like this, society has overall become more accepting of divorce and many people are choosing happiness above lifestyle and financial security.
But the primary fact remains; divorce after age 50 can be devastating financially when most of your spending habits, savings and intentions for retirement are built off of both of you. The cost of living on your own can be up to 40% to 50% higher than for couples when looking at it on per person basis. The cost of divorce alone can be a financial setback that is significant, generating over $15,000 more just to end the marriage.
Household income can also decrease significantly after a gray divorce. It drops by 40% for women but only 25% for men. Scheduling a consultation with an experienced New Jersey estate planning lawyer is one of the most important things you can do when you are contemplating gray divorce to ensure that all of your documents and strategies are aligned with where you’re headed not where you’ve been.