Divorce is never simple, but for people aged 50 or older who are ending a marriage, the challenges can be incredibly complex. Also known as “gray divorce“, one of the most pressing concerns in these later-in-life divorces is the impact on retirement income. Decades of shared finances, long-term investments, and retirement planning now need to be carefully untangled. The stakes are high for those nearing or already in retirement, as a reduced retirement income can affect quality of life, healthcare options, and even the ability to maintain independence. An experienced Illinois divorce attorney can help ensure that your retirement income is accurately assessed and divided to create a stable post-divorce future.
How Are Pensions Divided in a Gray Divorce?
In Illinois, pensions earned during a marriage are considered marital property and are subject to division in divorce. State laws follow an equitable distribution approach, meaning that retirement assets are divided fairly, but not necessarily equally. Factors like the length of the marriage, each spouse’s financial needs, and future earning ability are all considered.