Coping With Unexpected Financial Setbacks in Retirement
Perhaps you heard that, after much media hype, Florida abolished permanent alimony. Pursuant to the new law, all alimony awards have an automatic end date, and alimony obligations cannot last longer than the marriage did. Therefore, if you got married at 25 and divorced at 50, the court can only order you to pay alimony until you are 75, which is a long time, but it isn’t forever. Furthermore, the new law requires the courts to review alimony orders and modify the amount if appropriate when the paying spouse retires or becomes eligible for retirement. This new law could just be one of many manifestations of Florida lawmakers’ “let them eat cake” attitude toward cash-strapped consumers, or it could be due to the awareness that most Florida seniors cannot afford to pay alimony. In fact, Florida seniors cannot afford to pay for much at all. Despite what the news headlines say, financial stress is not just for Millennials; Baby Boomers and a graying Generation X are not exactly loaded, either. If your path to prosperity took a sharp turn toward hardship late in life, contact a Plantation debt lawyer.
The Retirement Lifestyle You Thought You Could Afford
Unlike many in the younger generation, you were fortunate to remain employed in salaried positions consistently from the time you were in your 20s until the far end of middle age. You built up some retirement savings. You were able to help your parents financially in their old age, and of all the things you have given your children, the most valuable one is that you are financially independent and will not need to ask them for financial support. Your children grew up in more challenging times, though. You have given them money when they needed it, and your dream is to help them fund their children’s education.
How to Bounce Back When Reality Bites You Late in Life
The most common financial setbacks for seniors are health-related. Many of us retire earlier than we planned, and health concerns, not financial stability, is the deciding factor. A commonly cited formula is that you should assume that you will work half as many years past age 61 as you had originally hoped. In other words, if your goal was to retire at 67, you will probably retire at 64. In today’s economy, many companies are downsizing or cutting back on benefits; your employer may decide that you are retiring earlier than you wanted to, and then you will be stuck in the gig economy with everyone else.
If you find yourself struggling with debts late in life, it is safer to take out a reverse mortgage or home equity line of credit (HELOC) than it is to use up your retirement savings quickly. Another option is to consolidate your family’s finances by moving in with your children or having them move in with you. Furthermore, you have the right to file for bankruptcy protection and to discharge your eligible debts, no matter your age.
Work With a Debt Lawyer About Coping With Debt in Your Golden Years
A South Florida debt lawyer can help you decide the best solution to financial setbacks that arise after you have retired. Contact Nowack & Olson, PLLC in Plantation, Florida to discuss your case.
Source:
finance.yahoo.com/news/t-5-less-frugal-money-140027661.html
