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Finances After 50: 5 Important Things To Consider About Your Finances
May 23, 2020 | Life | By Lisa Smith
Time has a way of taking its toll on a married couple. As you grow into your 50s, you begin to see yourselves drifting apart. Divorce, as sad as it may be, is a part of life. If you’re going through a divorce, it’s essential to realize that it’s not the end of the world. You’ve got to maintain a clear mind so you can divide up your assets. There will be plenty of time for moping and feeling sad after the divorce is finalized. For now, try to keep it together until the money is divided and your house is sold.
Here are five critical financial decisions every person over 50 needs to make when going through a divorce
1. Split Your Joint Savings Account Reasonably
Do you have a joint savings account? You probably have one if you’ve been married for a long time. How much did you contribute to the savings account? Did you put 80% of the money into? Don’t try to get all the amount of money you put into the account. Now isn’t the time to bicker over the little things. Swallow the bitter pill and divide it 50/50. It sucks, but you’ve got bigger fish to fry in this divorce.
2. Agree on a Percent of the Sale Price of Your Home
You’ll also have to agree on the selling price. Are you wanting to split up and lose contact with each other right away? If so, then you should lower your asking price to get a quick sale. You don’t want the sale of your home to drag on for years after the divorce. Split the money down the middle or whatever you can deal with. Don’t put yourself in a situation where you have to go back and forth over the smallest numbers.
3. Talk to a Financial Analyst About How to Divide Your Pension Funds
Your pension should be pretty straightforward when it comes to divorce. You might find a few loose ends somewhere. An analyst will help you comb over your pension and see if there is anything that needs splitting. You don’t want to be left caught off guard in court and blindsided by something that you didn’t see coming.
4. Also, Take into Consideration any Other Investments You Have
The same analyst that goes over your pension also needs to check out your investments. Did you invest in stocks, bonds, or real estate together? If so, you’ll need to divide that up as well. It might be best to sell off the stocks and split the money. Sure, the shares might go higher in the future, but you can always reinvest your cash after the divorce is finalized.
5. Don’t Try to Get One last Zinger in
Everyone reading this knows what type of zingers we’re talking about. Getting a divorce is a terrible experience and sometimes all you want to do is make the other person hurt as much as you do. Don’t make the mistake of continually trying to get one last punch in. Divide everything in a way that brings the divorce to a swift conclusion. Some couples fight until the bitter end, and it’s not worth it. If you feel the need to create conflict by arguing over money, step back, and let your lawyer handle everything.
Don’t Expect to Come out a Winner When You’re Going Through a Divorce
Some are going to say that the women always make out like a bandit during a divorce. If you’re a guy, you can’t worry about that stuff. No matter if you’re a man or a woman, the process is still costly and painful. Try your best to cause as little suffering as possible while combing through your financial assets. Divide everything in a way that’s fair to both parties and then get it over with. Dragging out the divorce because of a few bucks is always a bad idea since it only causes the pain to last longer.
