There has been an explosive growth in “gray divorces” as Boomers (especially women) who have forced themselves to endure decades-long, unsatisfying marriages seek a change for their later years. Many Boomer women also do not want to become caregivers to spouses they are not actually close to. However, these divorces can cause catastrophic upheaval to both spouses’ retirement plans, and create formidable challenges for financial planners. The first challenge is the need to avoid conflicts of interest, which can easily arise when a planner who was working on a single plan for two people must suddenly provide advice to two people whose plans may be divergent or directly in conflict.
- One thing that is disconcerting and very shocking is that people who are aged 50 and above are getting divorced at record numbers.
- This divorce phenomenon is called gray divorce and in this blog the author had a talk on it with Thinkadvisor personality, Dennis Stearns.
- The upsurge in gray divorce is lead baby boomers who have been in unsatisfying marriages for a long time but who now want a different life.
“The veteran advisor has focused on the money issues of gray divorce — which, he says, often get “messy” — for a decade.”