As you get older, a lot of things can change. Sometimes, these changes involve relationships. The rise in divorce among older couples has given way to a new term: the gray divorce. If you’re going through a gray divorce in Colorado, it’s important to prepare yourself. With that in mind, here are some tips to help you prepare for a gray divorce.
Take inventory of your assets and debts
One of the first steps to take in any divorce is creating an inventory of your assets. Common types of assets include houses, boats, vehicles, investments and anything else worth significant value. The next step is to tally up your debt, including mortgages, credit card debt and similar expenses. By subtracting your debts from your assets, you’ll know how much your estate is worth.
Change your beneficiaries
It’s also critical to look over your beneficiary designations. After getting married, you and your spouse likely had each other as beneficiaries. However, you probably don’t want your spouse to be your beneficiary anymore. By looking over your beneficiaries, you can ensure you’re not leaving anything behind to your ex-spouse.
Establish a trust
Another great way to safeguard your assets after getting divorced is by setting up a trust. With a trust, you’re in complete control of your assets. If not, and you end up getting remarried, your new spouse could end up inheriting everything you leave behind. If you don’t want your beneficiaries wrapped up in family law disputes, it’s worthwhile to establish a trust.
Understand that annuities are tricky
To receive income later in life, some people have annuities. If you’re the owner of an annuity now, it could get divided with your ex-spouse after you both get divorced. With that said, some types of annuities can’t get split. The provisions of your annuity should give you a better idea of what will happen to this investment in a divorce.
Divorcing later in life can get complicated. By following the previously mentioned tips, a gray divorce won’t take you by surprise.