Divorce is common anywhere in the country, especially in Columbus, Ohio. In fact, a lot of people nearing retirement age also decide to divorce. But, divorce at an older age can have a lot of effects on retirement accounts and assets. If you are in this age and situation, you may need to adjust your expectations and start rebuilding your future. If you understand how a gray divorce can affect your finances, you can better plan for your new life and future. To reduce your stress and worries, find a reliable Columbus family law firm to handle the legalities of your divorce and the associated issues. Read to know what to expect when you divorce at an older age:
The Court May Divided Your Assets
Ohio courts will divide property that a divorcing couple has acquired during their marriage in an equitable or fair way. Keep in mind that equitable may not mean an equal division of assets. Retirement savings are usually included in assets that the court will split up in divorce.
The amount you saved before your marriage may stay as separate property, depending on the way you handle such accounts. But, any deposits you make during your marriage will be divided by the court. No matter how much you contributed more to those accounts or whose name is on them, family courts will split the assets and debts fairly between you and your spouse. This could mean dividing your retirement fund or pension.
You May Need to Change Your Retirement Plans
Because your spouse may have a claim to your retirement account or pension, you can expect fewer financial assets during retirement. Plus, you will have to spend money on getting a divorce.
If you and your spouse fail to reach a divorce agreement on your own, your divorce could take longer to finalize. It could be necessary to liquidate some of your assets, cash out some retirement accounts, or use your savings to pay the divorce costs. If you combine all of these with the split of your pension or savings, you could face a serious financial issue. Thus, the way divorce issues are addressed can matter for older people who want to end their marriage.
However, once you realize that a problem could arise, you could address it proactively. You may decide to extend your work years or adjust your living arrangements or travel plans. Also, you may take action within the divorce proceedings to support your retirement goals. Consult your attorney to learn your options.