When retirement looms for Texas spouses, the decisions that they make in a divorce will have much greater ramifications on their finances. Suddenly, they may need to make lifestyle changes or even push off the date of their retirement because the assets that they were counting on for later in life now must be divided in two. This is what is known as “gray divorce,” and it has its own challenges.
These challenges should be met with a high level of preparation before the divorce process begins. A person cannot begin to negotiate the divorce agreement without taking the time to learn which assets are considered part of the marital estate and having a sense of their value. They should also anticipate what their spouse may declare as part of marital assets to ensure that there is a complete accounting before division.
Every decision that a spouse makes during the divorce can have a financial impact afterward. While each spouse should compromise where it is necessary, giving away too much could force someone to have to cut back on their standard of living or delay their retirement. Each person should understand how every choice they make and provision they negotiate can affect their overall financial picture. A failure to be informed may result in errors that could otherwise have been avoided.
One of the best ways to begin preparation for a gray divorce is to consult a divorce attorney. The attorney may help their client understand exactly what is at stake in the divorce and prepare a strategy for the upcoming negotiation. The attorney’s understanding of the divorce process and the relevant laws may inform a person when they are deciding what to ask for in the divorce and how much they can afford to compromise in the negotiations.
