Divorce later in life, often referred to as a grey divorce, is becoming increasingly common across Canada. Recent Statistics Canada data shows a steady rise in separation and divorce among adults over 55, a shift that brings distinct legal and financial challenges. Unlike earlier-life separations, grey divorces typically occur when couples are approaching retirement or have already stopped working, leaving little opportunity to rebuild financially. In this Global News discussion, Shulman & Partners LLP shed light on why grey divorces are on the rise and why they can be particularly disruptive. With pensions, long-term assets, and retirement plans at stake, these separations require careful planning and realistic expectations.
“When we’re dealing with grey divorces, these are obviously longer marriages, and we’re dealing with a lot more money. The challenge is that there’s only so many funds that people have once the household income goes from two to one.”
— Insights from Shulman & Partners LLP
The discussion focuses on why grey divorce has become more prevalent and why its consequences can be far-reaching. From the firm’s perspective, one of the most significant differences between divorcing later in life and separating earlier is timing. Couples in their 50s and beyond are often at or near retirement, meaning their financial resources are largely fixed. There is little opportunity to offset losses through increased earnings, making asset division especially impactful.
Shulman & Partners LLP explain that many individuals entering grey divorce are surprised by how Ontario family law treats long-term marriages. Pensions, for example, are frequently misunderstood. Rather than being viewed as personal retirement income, pensions are considered assets accumulated during the marriage and are subject to division as part of the equalization of net family property. This can come as a shock to spouses who assumed their pension would remain untouched after separation.
Another recurring issue is the shift in household income. Where couples once relied on two sources of financial support or shared expenses under one roof, separation often requires maintaining two households on significantly reduced means. This reality can force difficult decisions, such as selling the family home or adjusting retirement expectations.
The conversation also addresses the emotional and social factors driving grey divorce. With longer life expectancy and changing attitudes toward marriage, many people are choosing personal fulfillment over remaining in relationships that no longer meet their needs. The stigma surrounding divorce has diminished, and individuals are increasingly willing to accept financial trade-offs in exchange for emotional well-being.
For spouses who earned less or stepped away from the workforce, spousal support can play a critical role in easing the transition. Ontario law recognizes the economic imbalance that may arise from traditional marital roles and provides mechanisms to redistribute income post-separation. However, support alone does not eliminate the need for careful financial planning.
A key takeaway emphasized by the firm is the importance of early professional guidance. Financial advisers can help individuals understand what lifestyle is realistically achievable after separation and identify strategies to preserve assets. Legal advice ensures that rights and obligations are clearly understood before irreversible decisions are made.
Ultimately, grey divorce is rarely just a legal event. It is a financial reset that requires clear-eyed planning, informed decision-making, and an honest assessment of long-term goals.
Listen to the full Global News segment here.
This media appearance is part of Shulman & Partners LLP’s ongoing contributions to Canadian family law discussions. Explore more of our media features in our In the Media archive.