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Specialist Family Lawyer Grey divorce
According to the Office for National Statistics, since 1990, the rate of divorce among the over 50s – so-called ‘grey divorce’ – has doubled, now accounting for around one in three divorces.
If you are over 50, navigating divorce presents not only financial challenges but also major emotional and social adjustments. At this stage of life, many people are empty nesters with a long-established social network, and planning for retirement is a priority. Often enjoying good health and the prospect of more leisure time, divorce can feel like a severe blow to your independence, financial stability, and future plans.
Divorce finances over 50
For older people divorcing, finances are often of more concern than for younger divorcees with more working years ahead to bridge any financial shortfall. As such, finances are often a significant source of tension.
The matrimonial pot is the sum of the couple’s assets, including the matrimonial home, pensions, business interests, and debt. The starting point is usually 50/50 when it comes to dividing the pot. However, the split can be shifted depending on each spouse’s current and future needs, any dependent children, and other considerations.
Failing to reach an agreement means considering dispute resolution methods such as mediation or collaborative divorce. Failing that, the couple faces going to court for a private financial dispute resolution hearing.
Pensions
Pensions are often among the largest marital assets. Among those in their 50s, it’s not uncommon for one spouse, typically the husband, to have significantly greater pension provision than the other, sometimes because the wife has taken a career break to raise children.
It’s crucial to seek expert advice on the division of pensions. Pension sharing orders are a common device to ensure both parties receive a fair share. But doing so requires legal and financial guidance and careful negotiation.
The marital home
Deciding what happens to the family home can be emotionally and financially challenging. Although a couple may have significant equity in the property, each party may have insufficient funds to purchase another (smaller) property outright after splitting the equity. This can be problematic, as mortgages are not always as readily available to older people.
See also: Can a pensioner get a mortgage? |
Plan for longevity
People live considerably longer these days, and planning for your financial future is crucial. Your family law solicitor will help you consider how your financial settlement will sustain you long-term. You may also need related advice on making or updating your Will, estate planning, and a lasting power of attorney.
Grey divorce: Impact on children
Although children may be adults, grey divorce still affects them emotionally. Being mindful of their feelings, keeping tensions low, and maintaining communication can help minimise the strain.