Divorcing Over 50 in the UK – Legal & Financial Advice for Later-Life Splits

While the children may now have grown up, they may still be affected by divorce. In this article, we will explain some of the challenges of divorcing later in life, including pension sharing and property rights, spousal maintenance and estate planning. 

Why does divorcing later in life pose unique challenges?

Divorcing after the age of 50 can be enormously stressful and disruptive, physically, emotionally, legally and financially, especially after a long marriage. Indeed, having to separate your identity, lifestyle, and social circle can feel like an insurmountable task.

From a financial standpoint, even though retirement may be years away for someone in their 50s, many divorces at this time face the reality that their remaining earning potential may now be limited. This is less of an issue for someone with a large salary and pension, but for a partner who has dedicated their life to looking after the home and children, the possibility of re-entering the workplace and earning a decent salary is reduced. This makes securing a fair divorce financial settlement absolutely essential for such individuals.

When it comes to children, unlike divorces in our 30s and 40s, divorce often does not require child arrangements. However, splits at this stage of life can cause significant emotional or financial tension within the family.

What are the key legal & financial considerations of divorce over 50?

Pension sharing divorce UK over 50

For many over-50s, the pension is the most valuable marital asset, sometimes even more than the family home. Why? Because we all need a form of income once we retire, and we may not have many remaining working years to amass a pension of our own. For this reason, a fair pension sharing order that takes into account the wider context of both individuals must be agreed to avoid long-term financial hardship, especially for the financially dependent spouse. Unfortunately, mistakes are quite common when it comes to pension splitting arrangements, for example, relying on a pension statement rather than properly valuing defined benefit schemes, which can lead to a real financial imbalance in retirement. Another key consideration in this area is that one party may need access to a pension fund much earlier than one who can continue to work for many more years. Careful calculations must be carried out to ensure that a pension split is fair, not just equal.

Property division UK over 50 divorce

After a long marriage, it is much more likely that both parties will have an equal interest in the marital home. But what if everything is tied up in the family home and there is not enough equity to allow both parties to move on and buy their own homes? Some couples agree to sell and downsize; others may transfer the home to one party, with the other receiving a larger share of pension or savings. Take the time to understand your property rights after a long marriage divorce in the UK before reaching a decision on this matter.

Spousal maintenance after divorce over 50

Spousal maintenance is more likely in later-life divorces, particularly if one party gave up work to support the household. We know from experience that longer marriages often lead to more generous or longer-lasting maintenance orders. This can provide essential income for a spouse who may have limited earning prospects.

Estate planning

An often overlooked consideration of divorce over 50 is Wills and inheritance. While you will no longer benefit from the Will of your ex-spouse, it is still important to update your will, pension nominations, and life insurance after divorce. Consider how the adult children will benefit from your inheritance, something that can be more complex for those who enter into a new relationship or marriage and have children, or they have children from previous relationships.

How to prepare for divorce after 50 in the UK

If you are divorcing over 50 in the UK, it is all the more important to seek expert advice from an estate planning and family law specialist, in addition to a financial expert. The advice of those with an understanding of pensions, investments, tax and legacy concerns based on your unique circumstances will prove invaluable. We recommend getting a complete picture of your finances by gathering statements for pensions, property, debts, savings, and jointly owned assets. This will ensure that you have the facts to hand as you go through the process of splitting your legal and financial interests.

Where possible, always try to reach an agreement outside of the courts, but with the help of experts who can help you understand your legal rights, financial position and needs. Mediation and collaborative law reduce conflict, preserve family relationships (not least for the good of any children from the marriage) and tend to lead to an outcome that is much more likely to be respected by both parties.

Final words

Having worked with many divorcing couples in their 50s, we know just how much the process can lead to considerable uncertainty, even if the children have now grown up. It is more important than ever to think long-term and focus on your future security and retirement stability over short-term settlements. To this end, make sure you have legal, financial and emotional guidance from people you trust and ask questions. After all, we are here to help you. 

For a free consultation regarding your divorce in the UK, please call us on 0208 300 6666.