Women cope better financially with later-in-life divorce than men: CPA survey

Many more older women apt to seek out financial advice, increase savings and spend less
FEB 09, 2017
With the divorce rate for those over the age of 50 having doubled since 1990, the increasing number of newly-single Americans near or in retirement is throwing new wrinkles into financial plans. A new survey finds that women are coping with the challenges better than men. Results of the AICPA's survey of its CPA financial planners, released today found that the advisers' female clients are far more likely to adopt positive financial behaviors post-divorce than male clients. Women are twice as likely to seek out a job (40.2% to 20.6%) and increase their savings (41.3% to 16.4%). Women were found to be almost four times more likely than men to improve their spending habits (42.3% to 11.7%) and roughly 14 times more likely than men to actively seek out financial advice after divorce (60.4% to 4.4%). The Personal Finance Planning Trends survey also asked the planners what steps would have better prepared their clients near retirement age financially for divorce. The most frequently cited were understanding how to manage personal finances (75.6%), understanding the long-term financial planning consequences of a divorce settlement (73%) and understanding the tax implications of a divorce settlement (56.9%). Also mentioned were updating wills or trusts (51.2%), increasing saving for retirement (50.7%) and decreasing spending (42.8%). (More: Two ways to boost Social Security benefits)

Latest News

No succession plan? No worries. Just practice in place
No succession plan? No worries. Just practice in place

While industry statistics pointing to a succession crisis can cause alarm, advisor-owners should be free to consider a middle path between staying solo and catching the surging wave of M&A.

Research highlights growing need for personalized retirement solutions as investors age
Research highlights growing need for personalized retirement solutions as investors age

New joint research by T. Rowe Price, MIT, and Stanford University finds more diverse asset allocations among older participants.

Advisor moves: RIA Farther hails Q2 recruiting record, Raymond James nabs $300M team from Edward Jones
Advisor moves: RIA Farther hails Q2 recruiting record, Raymond James nabs $300M team from Edward Jones

With its asset pipeline bursting past $13 billion, Farther is looking to build more momentum with three new managing directors.

Insured Retirement Institute urges Labor Department to retain annuity safe harbor
Insured Retirement Institute urges Labor Department to retain annuity safe harbor

A Department of Labor proposal to scrap a regulatory provision under ERISA could create uncertainty for fiduciaries, the trade association argues.

LPL Financial sticking to its guns with retaining 90% of Commonwealth's financial advisors
LPL Financial sticking to its guns with retaining 90% of Commonwealth's financial advisors

"We continue to feel confident about our ability to capture 90%," LPL CEO Rich Steinmeier told analysts during the firm's 2nd quarter earnings call.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.