Gray divorce refers to the phenomenon of older couples, typically those over the age of 50, choosing to end their marriages. Several factors contribute to the increasing prevalence of gray divorce. Longer life expectancies, changing societal attitudes toward divorce and the evolving roles of men and women in relationships all play roles. Additionally, as married individuals pursue personal fulfillment and seek a sense of independence, they may find themselves reevaluating their marriages later in life.

While all divorces can have challenges, there are issues involved in gray divorce that necessitate special consideration. Here are some of the areas that may be affected:

• Financial implications — One of the primary concerns in gray divorce is the financial impact on both parties. Unlike couples divorcing earlier in life, older couples typically have accumulated more assets, including retirement savings, real estate and investments. Equitable distribution of these assets can be a complex process, requiring careful consideration to ensure economic stability for both spouses in their post-divorce lives.
• Division of retirement accounts — In addition to other marital assets accumulated over the years, working spouses likely have substantial retirement earnings, such as 401ks, IRAs and pension plans. For retirement accounts governed by ERISA, there are special rules that apply to their division, which differ for vested and unvested benefits. Furthermore, to prevent tax penalties for early withdrawals from these accounts, it may be necessary to obtain a court order known as a qualified domestic relations order (QDRO).
• Healthcare and insurance — Many older couples rely on joint health insurance plans and so the dissolution of the marriage may result in one or both spouses losing coverage. Addressing healthcare needs becomes especially crucial later in life when individuals may face increased medical expenses and a greater need for comprehensive insurance coverage. Transitioning from shared healthcare plans to individual coverage can be complex.
• Estate planning and inheritance — Estate planning takes on heightened importance in the context of gray divorce. As couples separate, they need to revisit their wills, trusts and other estate planning documents to ensure that their assets are distributed according to their wishes. The issue of inheritance for children from previous marriages may also arise, requiring careful consideration to balance the interests of all parties involved.
• Social and emotional impact — Couples who have spent decades together often face a profound sense of loss and upheaval. The impact on mental health, feelings of isolation and the need for emotional support become significant considerations. Moreover, older divorcees often find themselves redefining their social circles as they adapt to changed family dynamics.

The Law Offices of Kelli M. Martone represents New Jersey residents who are going through divorce. Please call 856-432-4587 or contact me online to schedule a free initial consultation. My office is conveniently located in Haddon Heights and serves Camden, Burlington, and Gloucester counties.