Those who get divorced are 7 percent less likely to be able to maintain their lifestyle in retirement compared to those who don't divorce, according to a new study. Getting a divorce at age 50 or older could make it even harder to maintain a sufficient lifestyle in retirement. Although the divorce rate is stabilizing for California residents and Americans as a whole, it is increasing for those who are 50 and older.
Changes to the tax code are also changing the way in which divorce settlements are structured. Traditionally, alimony payments were considered income to those who received them and a tax write-off to those who made them. However, this will no longer be true for divorces finalized after 2018.