Disclaimer: This article aims to provide educational information surrounding divorce. It is not intended to serve as legal advice. Consult with a lawyer and exercise your discretion before taking action based on the information provided in the blog.

Grey divorce is rising – even celebrity pairs like Bill and Melinda Gates or Al and Tipper Gore have parted ways after decades of marriage. The data backs up this growing trend. Statistics Canada noted that while the overall divorce rates have decreased, they have written they are more common for those 50 and older.   

This article will discuss how a “grey divorce” differs and what you should consider before starting the divorce process. 

That having been said, every relationship, family and dynamic is unique. Talking to a family law lawyer will help you get clarity on your situation and help you move forward with confidence.

What is a grey divorce? Why are older people ending their marriage?

Grey divorce refers to divorce among older adults (those older than the age of 50). There are many reasons why older marriages end in separation and divorce. Common causes include:

• Societal Changes: With less of a stigma around divorce, more couples feel empowered to make decisions that prioritize their happiness and well-being. You may feel less pressure to remain in an unfulfilling marriage and more willing to separate. 
• Growing Apart: With children grown and out of the house, empty nest syndrome may cause couples to notice they no longer share common interests or goals, prompting them to reevaluate their marriage.
• Postponed Divorces: Some couples stay together for the sake of raising children and may choose to separate once that phase of their lives concludes.

Considerations when older adults get divorced

Your family’s priorities change the older you get. For example, older couples that separate often have adult children, and do not need to be concerned with decision making responsibility or parenting schedules. 

Let’s discuss some areas that you might be focused on if you’re facing a grey divorce.

Retirement Plans

Divorce later in life will almost certainly impact your retirement plans, and the consequences can be more severe the closer you are to retirement age. The fixed income you had planned to share as a couple will now have to stretch across two separate households, which can strain both partners financially. One spouse may even have to deplete their retirement savings to provide equalization payments to the other. 

The timing of your retirement may also change – retiring soon after a divorce may no longer be feasible, forcing you to rethink your plans for your golden years.

Life Insurance 

When you’re married, it’s common to name your spouse as the sole beneficiary of your life insurance policies. But after a divorce or separation, things change. You might start a new relationship and decide to name your new partner or designate your children.

Losing out on a potential insurance settlement could significantly impact your financial future, so you must discuss this issue during the separation process. Make sure you’re both clear on any changes to your life insurance plans so you can adjust your future financial strategy accordingly.

Estate Planning 

Any provisions for a former spouse in your will become invalid upon divorce, necessitating a thorough review and potential updates to ensure that intentions regarding heirs and beneficiaries are clear and enforceable. Remember, your estate plan is more than just your will. It also includes your powers of attorney, so you’ll need to make sure that they are updated to reflect any changes.

Pensions & Extended Health Benefits

Pensions are considered property during a divorce and can be complex to divide. Parties may also need to account for government benefits like the Canada Pension Plan (CPP). We discussed pension plans in more detail in this article.

Also, as you age, you may have more health expenses and want continued medical coverage. Divorced spouses typically cannot cover each other, so you’ll want to address that during your negotiations. We discussed medical benefits in more detail in this article. 

Starting over with a new spouse: Domestic Agreements 

If you decide to enter into a new relationship after your divorce, protecting your financial security is important. Drafting domestic agreements (such as cohabitation or marriage agreements), can help clarify what you expect from one another and any financial responsibilities. 

These agreements are particularly valuable if you have children from previous marriages and want to make sure that their inheritance is protected if you pass away. 

Domestic agreements are a good idea for any couple at any stage of their life, but can significantly reduce the risk of future legal disputes and provide peace of mind for you and your new partner.

Plat Simionati LLP: Your Partners in Navigating Ontario Family Law

Divorce can happen to any marriage – even amongst many older Canadians.  If you’re over 50 and considering divorce, it will come with unique challenges. The stakes are high, from dividing retirement savings and pensions to addressing changes in life insurance, estate planning, and financial security. 

At Plat Simionati LLP, we help all families navigate the complexities of separation, providing you with the guidance you need to protect your future.

With decades of experience in Ontario family law, we are here to support you every step of the way. Whether you need advice on retirement planning, equalization payments, or domestic agreements with a new spouse, we’ll ensure your rights and financial interests are secure. Reach out to our team today and take the first step toward a fresh start.