Going from two incomes to one can be a shock for anyone’s budget, and you may be worried about how your Pennsylvania divorce is going to affect your finances. If you have been looking forward to retirement in the next decade, the divorce may change your whole outlook. At Silverman, Tokarsky & Forman, LLC, we understand what is at stake during property division for those who are filing for divorce after the age of 50.
Here are some factors that may be more of an issue for couples seeking a gray divorce.
If you have been the primary breadwinner for decades, your spouse may not have the skills to join the workforce at a wage that allows him or her to have a reasonable standard of living. Training and education may not be feasible at this point. If so, you may find yourself ordered to pay alimony. Judges are more likely to order alimony in gray divorces.
Forbes points out that splitting a retirement account that was meant to cover living expenses for two diminishes its potential significantly. Not only that, being over 50, your savings are not likely to ever reach their pre-divorce amount. One way you can minimize the damages is to pay close attention to penalties and taxes on early withdrawals.
The cost of housing, health insurance, transportation and other living expenses can be daunting. Most people find themselves having to make a major lifestyle adjustment.
Mediation and collaborative divorce are two tactics many couples use to reduce the cost of ending the marriage. More information about contested and uncontested divorce is available on our webpage.