Rising divorce rate among those over 50 causing estate-planning problems

The rise in “gray divorce,” or split-ups among couples over the age of 50, is causing an increase in family conflicts and complicating financial and estate planning, a survey has found. [More: Gray divorce presents Social Security challenges] The survey, conducted by TD Wealth, the private wealth unit of TD Bank, found that gray divorce is adding another layer of complexity to an estate planning process that now often includes blended families and ever-changing domestic structures. The results were based on 112 responses from attorneys, trust officers, accountants, charitable giving professionals, insurance advisers, elder law specialists and wealth management professionals. “As a result of the growing divorce rate, it's more important than ever to proactively review and discuss estate plans with clients and their families on an ongoing basis," said Ray Radigan, head of private trust at TD Wealth. The rate of gray divorce, which has doubled since 1990, is posing a strain on retirement finances and having an impact on a variety of issues affecting older adults. The survey found that it is affecting decisions about powers of attorney (7%), determining appropriate Social Security benefits (6%) and drafting wills (5%). [More: Mary Beth Franklin's Retirement Repair Shop podcast: Will gray divorce ruin my retirement?]