Heading the financial reset button after getting a divorce in your older years can be difficult. Divorced women have many different financial and estate planning considerations that must be evaluated as soon as possible after they’ve moved through a divorce. Studies have found a co-relation between an increase in financial confidence and the length of time that a woman has been divorced.
Studies also show that just over one million women will get divorced every single year. This is no doubt a dramatic change in their underlying life but can affect their finances significantly. This can include many different steps, such as evaluating health care options, reviewing the impact on taxes from a property distribution award, and understanding how the division of assets affects your retirement plans can all be a challenge.
A study from Allianz Life in 2019 found that 57% of women reported that divorce was a wakeup call for them from a financial standpoint. Financial confidence among divorced women, however, increased the longer that they had been divorced. In fact, up to 65% of women who participated in that study reported feeling financially secure.
One of the most important steps that either partner can take after getting a divorce is to schedule a consultation with an estate planning attorney to re-evaluate what your divorce means for your future and to help you ensure that your documentation has been fully updated post-divorce. These critical steps are not always easy to take but can be especially important for outlining your long-term plans.