Is Gray Divorce More Expensive?

The divorce rate for couples over the age of 50 has been rising steadily since 1990. Now, almost 25 percent of divorces involve at least one party over 50. These are known colloquially as “gray divorces.” Why are gray divorce rates increasing? Several reasons have been proposed. Longer lifespans, more women in the workforce and changing ideas about the purpose and meaning of marriage are all contributors to rising gray divorce rates.

It’s no secret that divorce is expensive ”“ but you’d think that older people who have had time to amass wealth would be less vulnerable to the financial hit. Current research, however, suggests otherwise.

Gray divorce leaves less time for divorcees to recover. Things like remaining work years, complex commingled assets as well as issues of estate planning and adult children can all make it difficult for people over 50 to weather the financial storm of divorce.

Ensuring Your Retirement After Gray Divorce

Here are some considerations to make to ensure that gray divorce does not ruin your retirement.

  1. Don’t go it alone. There are many professionals out there that are ready and willing to help you make this transition smoothly. Seek out a divorce attorney, financial planner or accountant to help clarify your exact wealth and assets.
  2. Consider downsizing your real estate. Sometimes, it is prudent to sell the marital home for something smaller and more suited to your needs.
  3. If you were married for over 10 years, don’t forget that you are entitled to spousal Social Security benefits.
  4. Don’t forget about your health. Healthcare costs in retirement can be expensive, and you will likely need to adjust your health insurance as a result of divorce.

If you are concerned about finances following a divorce after 50, discuss your concerns with a Denver divorce attorney.

Can I Afford A Home After Divorce?

You’re headed for divorce and it’s clear that you won’t be keeping the marital home. Your family’s dual income has dwindled to a single income and you are looking for a new place to live. How do you know if you’re able to afford purchasing a new home?

The first thing you’ll want to look at is your new budget. Usually, it is best not to make such a big decision as buying a house without waiting for some time to really get adjusted to your new standard of living. If you are very well off, have acquired valuable assets in your divorce or have a substantial number of liquid assets, this can speed up your decision to buy ”“ but you probably should not dive headfirst into a new home so soon after divorce.

You should also review all of your financial obligations. After divorce, you should have had all of your joint accounts split from your spouse and your name taken off of any other joint agreements, such as your old mortgage. However, some couples fail to do this. You should review your credit report to ensure that you have made a clean break from your ex-spouse, otherwise his or her actions could hurt your buying prospects. Reviewing your credit report is especially important if your ex-spouse was the family breadwinner, as it will give you an idea of whether you have enough credit history to purchase a house.

The Denver divorce attorneys at Divorce Matters can help you ensure that your financial future is secure following divorce.

These Two Celebrity Divorces Show Why You Need a Prenup

Actress Amber Heard filed for divorce from husband Johnny Depp in May of this year, and their rocky relationship has consistently made headlines ever since. TV star Kaley Cuoco, of The Big Bang Theory, divorced her husband, tennis player Ryan Sweeting, earlier this year as well. The two divorces have a lot in common ”“ celebrity couples with high net worth. But there’s one thing that they don’t have in common ”“ one couple had a prenup, and the other did not.

Cuoco was named the TV’s highest paid actress in 2015 (tied with Sofia Vergara), making $1 million per episode of The Big Bang Theory and having a net worth of around $45 million. Her ex-husband, on the other hand, is worth about $2 million. Thanks to the prenuptial agreement signed by Cuoco and Sweeting, Cuoco was able to retain full control of her substantial net worth, including the money she is to receive as she fulfills her 72-episode contract. She also kept their couple’s two homes.

Depp, on the other hand, did not have a prenup with Heard. He agreed to pay $7 million to Heard for the divorce, and based on recent drama may end up parting with more. After Heard announced she would be donating the money to charity, Depp decided he would do it himself. This means he can claim tax deductions from the charitable offering and Heard cannot. Now, Heard and her attorneys are calling Depp out for changing the divorce settlement and are demanding Depp pay an extra $7 million to charity, in order to meet his $7 million obligation to Heard.

What’s the moral of the story? The more you have, the more you have to lose. You don’t have to be a celebrity to have assets you want to keep after divorce, like your house or your car. A prenup is the best way to protect your property in divorce.

Our Denver family law attorneys serve clients throughout Colorado and can help you protect your property in divorce.

Can Divorce Harm You Physically? Research Says It Absolutely Can

Divorce is a mentally draining event. Grief, anger, jealousy ”“ all kinds of negative emotion are to be expected. But what if the pain of divorce went beyond simply the psychological?

Can Divorce Cause Physical Pain?

Yes, it absolutely can ”“ there are well-documented physical effects of divorce.

  1. Divorce can affect your weight, and the effect can go both ways. Some people use comfort food as a way of calming themselves during divorce, and overindulgence can lead to weight gain. But others might lose their appetites entirely and end up losing weight. Either way, unrestricted weight gain or loss can lead to harmful health effects. In some cases, it can lead to metabolic syndrome, or a combination of several conditions like high blood pressure, excess fat and high cholesterol.
  2. Depression can contribute to the above weight fluctuation as well as other sinister side effects, such as insomnia.
  3. The stress of divorce can lead to cardiovascular effects. A study published in the Journal of Marriage and Family showed that middle-aged people, especially women, are more likely to suffer cardiovascular disease after divorce. One study from Karolinska University Hospital and Institute showed that people who divorce their spouses have a 14 percent higher risk of suffering second heart attacks as well.

There are many other physical consequences that can result from divorce, and they tend to be linked. If depression causes a person to neglect physical exercise and not eat well, then those unhealthy habits can contribute to more serious diseases and conditions over time. That is why it is important to keep an eye on your physical health and needs following divorce, and seek help if necessary.

Our Denver divorce attorneys practice throughout the state of Colorado, including Adams County; Arapahoe County; Boulder County; Broomfield County; Denver County; Douglas County; Elbert County; and Jefferson County.

Your Life, Your Credit: How NOT To Destroy Your Credit In Divorce

The effects of divorce can linger for a long time after the settlement is final. Divorce can cause a huge strain on your credit, so it is best to plan ahead to preserve your financial future.

How To Prevent Damage To Your Credit After Divorce

  1. Before you can plan for post-divorce credit, you should know where you stand currently. It’s astonishing how common it is for people’s credit reports to be incorrect. So, step one is to pull your credit report. You can request a free report once per year from each of the three reporting agencies, or you can look online for free services like CreditKarma for an estimate. You’ll want to look for things like collections notices that are incorrect, lines of credit that you did not open and things of that nature. Dispute any errors you can, as they can make it difficult for you to secure new lines of credit (which you might need considering the costs of divorce).
  2. Although getting your credit in order makes it easier to open new lines of credit, you will want to avoid opening new lines of credit that are unnecessary. Only open new lines of credit when you have no other choice ”“ you don’t want to overextend your finances, and there are still things like attorney fees, daily expenses and unexpected expenses like security deposits on a new place to live to consider.
  3. Budgeting is the name of the game. Presumably, you’re moving from a two income household to a one income situation. You’re likely going to have to make some cutbacks and prioritize what is really important. Making sure you are able to pay your bills on time means that you can preserve your credit rating so that you are able to take out any necessary loans you will need (student loans, car loans, mortgage loans) moving forward in your life.
  4. Make sure that you close all joint accounts with your spouse before your divorce is final. If your name is still on an account with your spouse after divorce, then his or her debts and spending habits could come back to bite you.

The Denver divorce attorneys at Divorce Matters handle all aspects of family law, including preparing our clients for the financial changes they will experience post-divorce.

Four Simple Tips To Help You Pay Less For Divorce

Generally speaking, divorce can be a very expensive life event. There is a lot to consider beyond just the cost of an attorney. Finding a new place to live, purchasing a new vehicle and many other things factor into the cost of divorce.

Attorney fees make up a large portion of divorce costs, but there are many strategies that we use at our law firm to help our clients soften the financial blow of divorce as much as possible. Here are a few tips to help you keep your attorney fees low in divorce.

4 Tips To Minimize Divorce Costs

  1. Find a lawyer early on in the divorce process. While this might seem counterintuitive, often it actually results in lower long-term fees because your lawyer will advise you on what’s feasible and what the best possible outcome can be for your individual situation.
  2. Use your time with your attorney wisely. Preparation is important. Think through all of the questions that you have, compile them all together and bring them to your attorney’s attention at one time, instead of making a phone call every time you have a question. Keeping your attorney interactions concise can help you minimize your attorney fees.
  3. Do your homework! While divorce attorneys are there to help you get all of your affairs in order, there is a lot that you can do yourself to help streamline the process. Putting together your financial portfolio including assets, liabilities, income and expenses, for example, can make it that much easier for your attorney to work through any issues related to division of marital assets.
  4. If it is possible for you to remain amicable with your spouse, much of the conflict in your divorce can be avoided. That can lead directly to lower attorney fees, because conflict can drag out divorce proceedings, contributing to higher costs.

Our Denver divorce attorneys offer financing options to help clients cover the costs of their divorces.

Do I Need A Lawyer For An Uncontested Divorce?

Divorce by nature can be a contentious process. It is the end of a marriage, after all, and it is normal for negative emotions to fly. But not every divorce ends in anger and argument. In some cases, divorce can be done amicably, and it’s great if that happens. However, just because both parties are in agreement on how to move forward with a divorce does not mean that an attorney is completely unnecessary. In fact, if you don’t have an attorney, issues that arise during what was meant to be an uncontested divorce can easily turn the divorce sour.

The Problem With Divorce Pro Se

When you file for divorce without an attorney, we say you are representing yourself “pro se.” You can file the paperwork on your own and there are a ton of guides on the Internet on how to do it successfully. However, even if you are representing yourself in your divorce, you should still speak to an attorney. Why?

Because of the potential for costly mistakes. Family law is complicated. The more money and property you have, and any kids you have, amplify the need for an attorney. It is so easy to miss something teeny tiny and have that omission snowball into an expensive legal battle with your ex-spouse in the future.

Here’s an example: let’s say you and your spouse own investment property together. In your DIY divorce, the property slips your minds and you fail to address the issues of ownership of that property. Now, something goes wrong with the property, and you want to repair it, but your ex (who still owns the property too) decides the property should be sold. Neither party is in agreement; the argument escalates and escalates and suddenly, you’re on the opposite side of a courtroom paying oodles of legal fees trying to resolve the property issue. If you had spoken to an attorney before your pro se divorce, the property issue could have been resolved before the problem ever came up.

Our Denver divorce attorneys will work with you to ensure that no aspect of your divorce is ignored.

Should I Divorce My Spouse In Order To Get More Social Security Benefits?

Can you collect Social Security benefits from an ex-spouse if you have remarried since your original divorce?

It’s actually more complicated than the Social Security Administration (SSA) makes it sound. There are many reasons why a remarried spouse might seek retirement benefits from an ex. Let’s use an example: suppose you are remarried and you collect Social Security. Your current spouse is still working, but perhaps you could use a little extra to help with bills, such as your current spouse’s recurring medical expenses. Is it possible to collect on a retired ex’s Social Security so that your current spouse can retire without breaking the bank?

According to the SSA, you can collect Social Security benefits from your ex-spouse’s retirement if you were married for 10 years, but you cannot be remarried. This begs another question: should you and your current spouse get a divorce so that you can collect on your ex’s benefits, in addition to your own and your current spouse’s?

Explaining The Excess Divorced Spousal Benefit

If you choose to divorce your current spouse in order to “triple-dip,” as it were, on Social Security benefits, you need to understand how the excess divorced spousal benefit works.

The excess divorced spousal benefit is equal to 50 percent of your ex’s Social Security benefits, minus 100 percent of your own. The surplus will be added to your own benefits. So your first step is to figure out if this equation leads to a better outcome for you, considering the costs of divorcing your current spouse as well as any changes that need to be made regarding estate planning, wills, etc. If it would be a boon for you, then you don’t need to worry about the SSA coming knocking ”“ but think carefully about the benefits of marriage you would lose and whether those outweigh the excess divorced spousal benefit you would receive.

Our Denver family law attorneys are well-versed in matters that pertain to divorcing retired couples and can help you plot out your best course moving forward.

Do More People Divorce During The Holiday Season?

Summer is over, the kids are back in school and, though it might not hit you until after Labor Day, we’re rapidly approaching the holiday season. As we enter into autumn, we thought we’d blog about a study recently conducted by the University of Washington that discovered August is one of the months in which divorce filings spike the highest.

Why August? Why not January, right after the holidays are over and the prospect of divorce won’t ruin the kids’ Christmas? Why not the beginning of summer, when graduations have ended and parents no longer have to keep up pretenses so kids aren’t distracted at school by a looming divorce?

The study, which looked at divorce rates between 2001 and 2015, showed that August and March were the two months with the highest divorce spikes. The researchers believe this may indicate that divorce filings are correlated with “domestic ritual.”

The data suggest that divorces are likely to happen at the end of the summer and the end of the winter, since those seasons are largely focused on family. Many couples find it inappropriate to take away from the joy of summer and the holidays to focus on a failed marriage. With the summer and the holiday seasons, people have high expectations ”“ it’s a chance to reconnect with the family and a chance for a new beginning. However, the researchers also suggested that, if the holiday seasons do not go well for a family, the added stress of disappointment could encourage those post-holiday, post-summer divorce odds.

The Denver law firm Divorce Matters is dedicated to providing an exceptional client experiences for clients seeking family law services in Colorado.

Secrets Your Divorce Attorney Wants You To Know

Family law attorneys are highly valuable resources for any married couple. At our firm, we have attorneys of all ages and backgrounds. We are mothers, fathers, cohabitants, and divorcees ”“ we’ve been on both sides of the desk. And that’s what we’re here for: to offer our unique experiences and legal backgrounds to ensure an optimal client experience.

It is especially important to speak to a family law attorney if you are getting divorced. We thought we’d use this blog post to share a couple bits of wisdom with our readers who might be separating from their spouses. Without further ado, here are a couple of tips that we think you ought to know as you enter this new chapter of your life.

  • Don’t just hire the first divorce attorney you come across. This is your best opportunity to figure out which divorce attorney is right for you. Shop around, and if you find someone that you like and trust, go with them. You’re going to be working together for a while ”“ might as well work with someone you like.
  • Get help now, so you don’t need it later. Many couples consider a DIY divorce, and for some, that is an appropriate choice. However, if you do it yourself, you need to be wary of potential problems that you might overlook ”“ and those problems can end up costing you a LOT more than you would’ve paid if you had discussed your divorce with a legal professional first.

Our Denver family law attorneys serve clients in and around the city as well as throughout Colorado.