Whenever married individuals divorce, their estate plans likely need some updating. When it comes to “gray divorce”, there is a definite need-to-change. Americans over 50 are getting divorced at a record rate, ICLEF notes in its “Law Tips” website. The special challenge for Indiana estate planning attorneys lies in the fact that in a “gray divorce”, each spouse is likely to leave the marriage with more assets than couples who divorce at a younger age.
Issues typical in gray divorces include:
- The parties have little or few remaining years of earning potential.
- The financial planning done for retirement is often jeopardized (two living separately definitely cannot live as cheaply as one).
- When either the husband or wife has not yet retired and has a defined benefit pension plan, those assets require professional valuation.
- The marital residence may be too expensive for either member of the couple to maintain.
- Healthcare issues may complicate the divorce, particularly when one spouse had been relying on the other’s employer plan.
- revising their estate plan
- examining beneficiary designations
- revisiting health care directives
By Ronnie of the Rebecca W. Geyer blog team