Elmhurst Divorce Lawyers for Retired Spouses

Divorce Issues for Retired Spouses

When getting divorced after retirement age, you will likely need to resolve a variety of complex matters. Many of these concerns will simply be the result of a lengthy marriage in which you have built up significant assets and closely aligned your personal finances and other aspects of your life with your spouse. You should be prepared to address:

• Property division - You will need to determine how to divide the assets that you have acquired over many years together, including your physical possessions, financial accounts, investments, and the family home.
• Retirement accounts - If you and/or your spouse have saved money in an account such as a 401(k) or IRA, these funds may be divided between the two of you, even if distributions from these accounts have already begun being made following retirement. If either spouse is receiving pension benefits, the other spouse may be entitled to receive a portion of those benefits following divorce.
• Social Security - You can begin receiving Social Security retirement benefits after reaching the age of 62. If one spouse is entitled to a higher benefit, the other spouse may receive a benefit equal to half of those benefits. If the spouse with the higher benefit is eligible to receive Social Security but has not yet applied for benefits, the other spouse may begin receiving benefits after being divorced for two years, as long as they have not been remarried.
• Medicare - Upon reaching the age of 65, you will be eligible for Medicare benefits, and you will not be required to pay a monthly premium if you worked and paid Medicare taxes for at least 10 years. Divorced spouses over the age of 65 who did not work that amount of time during their marriage may qualify for Medicare benefits once their ex-spouse reaches the age of 62 and is eligible for Social Security benefits. A person must be unmarried in order to qualify for Medicare benefits through their ex-spouse.
• Spousal maintenance - One spouse may require financial support from the other to be able to maintain their accustomed standard of living following divorce. Maintenance is based on the income earned by both spouses, but some additional considerations may apply when determining the amount of payments, since each party's income may be lower following retirement. If a spouse retired early, a spousal support award may be based on the amount they would have earned had they not chosen to retire.