But saying “I do” is not something that immediately springs to mind for those heading into their golden years.
Yet, according to the latest Office of National Statistics (ONS) figures, the largest percentage increase in the number of marriages in the UK was for men and women aged 65 to 69, rising by 25% and 21% respectively.
It’s perhaps not such a surprising statistic when you look at global demographics. The number of centenarians in the world is projected to increase from 343,000 in 2012 to 3.2 million over the next 30 years according to United Nations studies.
The size of the elderly population in general is expected to represent a growing percentage of the global population.
In the UK, approximately a quarter of the population will be aged 65 and over in 20 years’ time. In Japan, the elderly already make up 30% of the population and most developed countries are heading in the same direction.
We know of course that an ageing population brings with it specific challenges both socially, in terms of healthcare, as well as the ability to financially support living longer. But the trend of later life marriages adds some subtle complications.
Part and parcel of good financial advice is to lay down a plan for all life stages, which includes major events such as getting married, having children, school fees and retirement. Not everyone will follow these stages, but it gives a broad structure for the types of conversations needed to set up asset allocation policies, put savings plans in place and organise financial affairs.
Yet if we safely assume that a good proportion of the over-65s tying the knot have been married before, perhaps more than once, then we need to add this probability into planning at a much earlier stage than we possibly do currently.
Till death do us part?
Granted, asking someone how many times they plan to get married is probably not a great way to kick of the client adviser relationship, particularly when the clients are a happily married couple.
But the financial consequences of complex family relationships means it’s a conversation that needs to be had, no matter how tricky or delicate, in order to plan effectively.
Many couples getting married in their 60s will have built up sizeable assets that they may wish to protect.
For those with children from previous marriages there will be estate planning considerations for inheritance purposes. It may be that pre-nuptial agreements are used to give some clarity to what could be a rather cloudy situation in years to come.
It also has a knock on effect on the way we interact and position advisory services for what will be an increasing number of older clients. Information needs to be more targeted to their specific financial needs both online and in literature.
Something old something new
At some point in the relationship it may also be that the client’s previous children start taking on more responsibility for financial decisions, particularly post-80, when there is an increased potential for mental impairment.
The complexities of marriages in later life mean putting lasting powers of attorney in place to deal with this event may not be straightforward.
For those advisers who can tailor their services accordingly, an ageing client base presents opportunities as well as challenges.
How we address these opportunities and challenges will determine levels of success. At the very least, it certainly gives a modern twist on the phrase something old, something new.
