Gray divorce has a strong impact on finances — not in a good way

| Jul 23, 2019 | Divorce

The desire to put an end to one’s marriage can happen at any age. When a relationship has run its course, it makes sense to walk away even if doing so may cause some hardships for one or both parties. For instance, an article was recently published that talked about the strong impact gray divorce has on a person’s finances. While this article should not persuade Washington residents who are considering marital dissolution to stay in bad marriages, it is useful information to know and may even help one when negotiating settlement terms.

According to the article, the United States has seen gray divorces increase substantially since 1990. With this increase has come a rise in the number of adults ages 50 and above experiencing health and financial troubles. According to various studies, divorce mid to late in life can cause a person to experience depression, weight gain and high blood pressure — which in turn can contribute to other health issues. In terms of financial health, those who divorce at the age of 50 or older lose 50% of their wealth — which is expected. The real worry is that many of them fail to recover from this loss.

At this particular stage of life, when one’s career is winding down, or one is already enjoying retirement, it is difficult, if not impossible, to play catchup with one’s finances. As a result, gray divorce has caused poverty rates to increase. Approximately 27% of women who go through a gray divorce end up in poverty and 11.4% of men find themselves in the same boat.

When getting a divorce, the goal is to walk away from the marriage with settlement terms that are fair, balanced and, hopefully, do little damage to either person’s finances. It may take time coming to agreements that do just that. Thankfully, legal counsel can assist Washington residents as they negotiate or litigate the terms of their divorce settlements so they can get through the process swiftly while at the same time achieving the best financial terms possible.