Financial planning tools and services to put you on the path to the future you want
Your guide to financial planning and retirement
Connect with peers and experts
Get to know the people behind the company and the mission behind the work
Digital financial planning and guidance at scale
October 27, 2012
More and more couples over the ages of 60 are favoring cohabitation over marriage. In fact, cohabitation among people over the age of 60 more than quadrupled between 2000 and 2020.
There are quite a few factors driving the trend toward cohabitation for people over 50 or 60.
Let’s face it, shacking up is far more socially acceptable now than it was 20,30, 40 and 50 years ago.
Furthermore, without the expectation of having children in the relationship, marriage is perhaps not the institution you seek.
That is not to say that marriage is not important. It is still a meaningful rite for many people.
Between 1990 and 2010 divorce rates after age 50 doubled and remain at record levels, she says. The result? More older singles.
According to the U.S. Census Bureau, the number of 60 plus unmarried partner households grew 14 percent over the last three years.
No matter your attitude toward marriage and never mind the strength of your commitment to your partner, there are serious financial and other practical matters to consider when contemplating marriage after 50. You may want to merge your lives, but think carefully before merging your finances.
The pros and cons are serious, but not uniform to all situations. If the partners are on equal financial footing there is one set of financial considerations. If one of you is financially solvent and the other not, there is likely a whole other list of concerns.
Either way, here are a few of the many considerations:
Whether married or living together, sharing living expenses usually cuts costs overall for couples.
You need to have been married for at least 10 years to collect Social Security from an ex spouse. However, current partners can get benefits after just one year’s time.
When you marry later in life, it is likely that you are with someone who is divorced. Depending on their separation agreement, they may have financial baggage that you simply don’t want to lug around.
In fact, a study by Syracuse University’s Center for Policy Research has found that couples who marry later in life are more likely to experience financial disadvantages than those who marry earlier.
The Human Rights Campaign reports that marriage offers 1,138 tax breaks. However, taxes are complicated and there may be benefits to not marrying, especially if the union will put you in a higher tax bracket.
My father in law recently lost his companion of 20 years. The loss was heartbreaking. And, it was made more difficult by the fact that he did not have a say in her end of life care.
They weren’t married and her adult children took over the decision making. He was occasionally not allowed in his partner’s hospital room.
If you don’t own your home together, then it is important
How to Figure Out of Cohabitation is Better than Marriage?
Walk Through Every Detail of Your Finances
Make a Cohabitation Agreement
benefits and protections (such as guaranteed medical leave to care for a family member), according to the Human Rights Campaign.
Alimony and Child Support
All may be rosy while the 2 of you are together whether you are cohabitating or are married.
However, if you are cohabitating, when one of you dies, the rights of the surviving partner are limited. Marriage conveys specific estate planning considerations that simply don’t exist with cohabitation.
It may be useful for you to consult with a financial advisor or elderlaw attorney about the decision to marry or live together.
Do it yourself retirement planning: easy, comprehensive, reliable
Take financial wellness into your own hands and do it yourself retirement planning: easy,
Share this post:
Our weekly newsletter full of inspiration, podcasts, trends and news.
© 2022 NewRetirement, Inc. All rights reserved.
Disclaimer: The content, calculators, and tools on NewRetirement.com are for
informational and educational purposes only and should not be construed as professional financial
advice. NewRetirement Planner and PlannerPlus are tools that individuals can use on their own behalf to
help think through their future plans, but should not be acted upon as a complete financial plan. We
strongly recommend that you seek the advice of a financial services professional who has a fiduciary
relationship with you before making any type of investment or significant financial decision.
NewRetirement strives to keep its information and tools accurate and up to date. The information
presented is based on objective analysis, but it may not be the same that you find on a particular
financial institution, service provider or specific product’s site. All content, tools, financial
products, calculations, estimates, forecasts, comparison shopping products and services are presented