Subscribe to this list via RSS Blog posts tagged in social security benefits

Posted on in Divorce

Palatine divorce lawyer, gray divorcesWhile experts and researchers tend to disagree on the exact rate of divorce in the United States today, they are in agreement on one issue: the rate of divorce for couples over the age of 50 is on the rise. According to a recent Forbes article, the rate of “gray divorces” has actually doubled over the 20-year period from 1990 to 2010. These divorces tend to involve couples who have been married for many years, which can create huge financial changes for both parties. However, women, in these divorces, tend to suffer most.

How Your Age Impacts Your Divorce

The reality is that when divorce occurs later in life, the impact on your finances is larger. Once you reach retirement age, you are likely to be living on a fixed income, perhaps from Social Security benefits and pension or other retirement benefits. When you abruptly go from two sources of income to one, your budget and expenses will necessarily change. This is usually not a positive change, especially for the woman, who statistically is likely to have had less income over her lifetime than the man. This can cause the woman’s retirement benefits to be substantially less than her husband’s benefits. Women may be able to draw Social Security benefits from their spouses’ earning records, even following divorce, in some situations. However, that source of income is not a guarantee and is not available to all women at the time that they may need it the most.

...

dividing pensions, division of assets, Palatine divorce attorney, property division, retirement assets, social security benefits, SSI benefitsAll divorce cases involve a division of assets, whether it is an even 50-50 split or a different ratio that the Court decides is equitable based on the circumstances. When dividing pensions and other retirement assets, a non-owner spouse can choose to either receive property in an amount equal to his or her portion of the benefits at the time of a divorce, or as a monthly distribution when the owner-spouse becomes eligible to receive it. However, what happens when one spouse contributes more money to Social Security instead of an employer-sponsored pension?

Division of Pension and SSI Benefits

Employers generally withhold a portion of an employee’s salary for Social Security benefits. These benefits are paid as a monthly benefit once an employee reaches federal retirement age. Similar to a pension, money earned during a marriage is withheld from an employee’s paycheck and held for later distribution.

...
 

Call Today at 847.873.6741 for Your FREE Initial Consultation

We Accept:Credit Cards

Address110 N. Brockway Street, Suite 220, Palatine, IL 60067

Phone847.873.6741     Fax224.278.9550

Facebook LinkedIn

Resources Privacy Policy Disclaimer Sitemap

© 2021 The Law Office of Nicholas W. Richardson, P.C.
110 N. Brockway Street, Suite 220, Palatine, IL 60067 | 847.873.6741

OVC Logo