It’s a dream of many newlyweds to have a long and fruitful marriage that spans generations. But marriage isn’t always the happily ever after fairy tale solution so many people dream of in their youth. According to research, divorce rates have doubled for those over the age of 50 since the 1990s and grey divorces are 2.5 times higher than first divorce rates. In fact, a PEW study confirms statistics that divorces of those who remarry for fewer than 10 years are 10 times more likely than divorces of those who are married for over 40 years. Countless contingencies go into those statistics and many people do reach that happily ever after goal. But if you’re looking at an impending grey divorce, there are some hard truths you need to face first about your personal future and the divorce process itself.
Keeping the House May Be a Mistake
If you’ve been married a while, you’ve undoubtedly built up some real equity in your marriage. Having the opportunity to keep the family home may seem like a major boon and hit right to your ex’s soft bits. But here’s the rub: divorce assets need to be balanced, especially in a grey divorce. So if you keep the house, your ex will get to keep something of equal value at the time of the split such as a smaller alimony settlement or higher share of retirement savings. Depending on the growth rate, you could lose money over time. So consider the big picture before settling on assets.
Get Ready to Say Goodbye to Half Your Retirement Savings
Michigan is a no-fault divorce state, so while you can play the blame game the fighting it will only prolong the divorce and it won’t matter in court anyway. What will matter is understanding and accepting that your marital assets are being split as evenly as possible. And that includes retirement savings. Your retirement or pension may look great on paper, but that can change drastically once it’s cut in half. This is especially the case if one spouse has little to no savings of their own or if your ex opts to dig into it before it completely matures.
Decent Alimony Can Be a Given
Younger couples can include an alimony clause in their prenup that covers some assistance to their spouse in the event of a divorce. But depending on the age of the couple and length of the marriage that help is usually limited and may only help their partner get back on their feet. In the event of long-term marriages, however, that alimony can significantly compound and potentially even be enough to help with ongoing post-divorce life expenses.
You’ll Need to Consider Medical Insurance
Insurance companies tend to think of divorce as a life-changing event. In many cases that’s enough to disqualify the person and end coverage. If you’re covered under your spouse’s insurance and not yet old enough to qualify for Medicare, you’ll need to find an alternate solution for your future medical needs. Rather than being caught unaware when you least expect it, discussing and planning for these matters with the right Michigan divorce lawyers can help expedite the divorce process and ensure your story has a happy ending after all.