Few things cause more trouble for marriages than money — or at least that is what we are regularly told. How to spend it, how to save or what to do when you don’t have enough of it can certainly put pressure on a marriage. A recent article, however, offers some newer ideas on how money can affect a marriage.
The article, which spoke specifically of baby boomer couples, suggests that financial stability can trigger divorce. Why? Because it means each spouse can go their own way without having to worry about how they will get by without the other spouse’s support.
Most couples who hit this point are in the boomer generation — people 55 and older. Their kids have moved out of the house, and they have found that they no longer enjoy living alone with their spouse. Once they hit financial independence, they don’t have to. Divorce gives them the freedom to live their own lives.
When it comes to property division, however, it is important to approach it with a clear mind, and maybe guidance from an attorney. Getting a fair shake in your property division is very important if you want to continue to be financial stable after divorce. It is easy to think that an agreement is fair, when it really is not.
Consider retirement accounts. If your spouse has $1 million in a retirement account and you let them keep it, that amount will only grow — tax-deferred — over time. So if you kept your marital home, which is worth $1 million and your spouse kept their retirement account of the same amount, it may not actually be an equal split. Fortunately, an experienced lawyer can help ensure you are protected throughout property division proceedings.