As baby boomers continue to age, the concept of “grey divorce” — a term referring to couples over the age of 50 who decide to divorce — is becoming more prevalent. These divorces often carry unique challenges, particularly when it comes to dividing assets. In New Hampshire, the process for asset division in a grey divorce follows certain principles and guidelines.
Understanding these guidelines is crucial for couples going through a grey divorce. The unique financial complexities of these separations can greatly impact the future financial health of both parties involved. It’s important to note that the longer a couple has been together, the more intertwined their financial situation is likely to be.
Equitable distribution state
New Hampshire follows the concept of equitable distribution, which means the court will divide marital assets in a way that is fair but not necessarily equal. Several factors can influence this division, including each spouse’s earning potential, the length of the marriage and the age and health of each spouse.
Marital and separate property
Generally, property and assets acquired during the marriage are marital property, which is subject to division. Separate property, such as inheritances or gifts received by one spouse, usually remains with that spouse. However, it can become tricky if separate property has become commingled with marital property during the course of the marriage.
Retirement accounts are a major factor in grey divorces. These accounts, if accrued during the marriage, are marital property. However, the division of these funds requires careful consideration and potentially the use of a Qualified Domestic Relations Order (QDRO).
The family home
The family home often carries both financial and emotional weight. While selling the home and splitting the proceeds may seem straightforward, other options may be fairer given the individual circumstances. One spouse might choose to keep the home in exchange for a comparable value in other assets.
In a grey divorce in New Hampshire, the division of assets must be fair and just. The process takes into account many factors to ensure that the division supports the financial well-being of both parties. However, the complexity of this process highlights the importance of understanding one’s rights and options.