Many visitors to Divorced Over 50 are either Di-Curious, or in the very early stages of their Divorce. If that’s you, it means that final decisions about post-Divorce finances have not been made, so there’s still time to get it right.
The piece offers ten ways you can prevent a Divorce from ruining your finances. Some are obvious, some you’ve likely heard before. But it’s worth taking a look and keeping the suggestions in mind.
The tips include:
Prepare for a new career ASAP. For a non-working spouse, as soon as you know Divorce is even a possibility, start planning to go back to work. Polish your skills and start networking immediately.
Don’t get emotional about your home or other items. Many people are emotionally attached to their home, but staying in it may cause significant financial hardship. And don’t spend more money fighting over sentimental items than they’re actually worth.
Hire your own team of professionals — get an attorney, accountant, or even financial planner who’s working just for you.
Don’t forget about insurance. When one spouse has a financial obligation to the other, that person has to have both life and disability insurance in case something goes wrong.
And if you want to dig deeper on the topic, here’s a piece from a Certified Financial Planner that’s also a good overview on the topic.
If your Divorce has already worked its way through the court system, this post won’t do you much good (though it will have info you can pass along to others, or keep in mind if your next marriage doesn’t work out, either…)
But if you’re Divorce-Curious, still living together though someone’s leaving soon, or in the initial stages of your split, you will be faced with an important decision: File for Divorce, or start with a legal separation? Different states have different laws, so your location may affect your choices. But if you have an option, there are a number of factors you may want to consider.
Did you know you can start receiving your Social Security as young as 62? (not a good idea unless you absolutely have to). And that if you take it early, and are still working, you pay a tax penalty? (see, it’s really not a good idea). Here’s a concise piece from the “Dummies” folks with more detail…
Walter White had a great retirement plan — well, except for how he accumulated the funds. The vast majority of Americans, however, are woefully unprepared for retirement. Add the financial effects of going through a divorce, and many of us are looking at working longer, living on less, or both.
This piece from Forbes addresses “Retirement Catch-Up,” presenting an overview of the actions Over 50’s can take now to start building their savings. It includes some important information about Social Security, and links to get even more information. Unless you’ve got Walter White money (and look how much good it did him…), check out the article.
Personally, I find it hard to believe I’m merely a handful of years from being eligible for Social Security. Maybe you feel the same way.
Did you know that if your marriage lasted at least ten years, you may be able to receive benefits based on your ex-spouse’s earnings? And did you know that if your ex-spouse has died, you may be able to collect a survivor benefit?
Below the jump, I’ve excerpted a section from an investment email I receive. It makes no sense to credit the firm that sent it to me, and since they don’t say who really wrote it, I can’t credit them. But do take a look, as it’s important information that could make a difference for your financial future And if you have questions, post in the Comments section and we’ll see if the community can respond…