California residents at or over the age of 50 who decide to get a divorce are part of a growing group of people who choose to do so as they approach retirement. The Pew Research Center reports that the divorce rate for people in this age group is two times was it was 25 years ago and that it is growing.
No matter the age, a divorce can have a significantly negative impact on their finances. For people who are older, it can have a particularly catastrophic financial effect. However, there are some steps they can take to make sure that they have a stable financial future.
Making a detailed list of all individually and jointly held assets is necessary. It is also important to include on the list any inheritances that were received during the course of the marriage and that were placed in jointly held accounts. Inheritances are not typically included with the assets that are divided during a divorce, unless they were commingled.
It is also necessary that both spouses note all of their current and previous employers. One or both of the parties may be entitled to pension money that was earned from employment that took place during the first part of the marriage. For individuals who will receive alimony, they should verify that there are contingencies in place in case the payer dies. The recipient may want to consider bargaining for a lump sum alimony payment instead of monthly payments.
A divorce later in life can have other financial ramifications as well. Family law attorneys will take them into account when negotiating settlement agreements on behalf of their clients.