One interesting divorce trend in recent years is the increase in gray divorce cases. Older couples are getting divorced at a higher rate than they used to, such as those who are over 65 years old, seeing their divorce rate triple in recent decades. But it also shows that divorce is simply more common for those over 45 years old, so they do not necessarily have to be around retirement age to be involved in a gray divorce.
For couples who are going through this process, divorce can be a bit different than it would be when they were younger. In some ways, it can be easier. For instance, couples in their 60s may no longer have minor children living at home, so they do not have to debate over physical and legal custody rights. Instead, the focus of the divorce is largely financial, as they split up their assets.
Retirement benefits
On one hand, asset levels can be much higher at this age, so division is always going to be more complicated. Couples may have investment portfolios that they have contributed to together, and they may also own shared assets like real estate, homes, businesses and much more.
Depending on the timing, one of the most important things to consider is how to split up retirement benefits. In some cases, only one spouse will be earning those retirement benefits, but the couple was initially planning to use them together. If they are a marital asset, those benefits could be split up using a qualified domestic relations order. This way, the spouse who was not earning the benefits still can use them to retire in the future.
Financial questions abound during a gray divorce, and couples who are going through the process need to be well aware of all of their legal rights and options.