How does financial insecurity impact divorce?

On Behalf of | Nov 21, 2022 | Family Law |

Many people correlate finances and assets to the rate of arguments that may occur during a divorce.

However, it might not be the assets themselves that lead to these troubles. It might have more to do with the feelings of financial insecurity that surround the assets.

Net worth and financial stability

Business Insider looks into the apparent ties between divorce and assets. Supposedly, couples with more assets fight more in divorce. However, couples with over $5 million in net worth actually have the highest rate of amiable divorce out of any other wealth bracket.

On the other hand, couples with between $1 and $5 million in net worth fight more than any other wealth bracket. So does wealth actually impact arguments after all?

In reality, this might have more to do with financial insecurity rather than the actual asset amounts. Couples with between $1 and $5 million in net worth may have a decent amount of money, but they do not have the same feeling of financial security that couples with over $5 million in assets have.

Insecurity leading to arguments

Because they lack security, they lash out at one another in a desperate bid to keep as many assets as possible so they can continue living their current lifestyle. The arguments are a byproduct of the need to build financial security, which the individuals often feel they can only get by having as big a chunk of their shared assets as possible.

Thus, it is less the amount of assets and more the feelings of security (or insecurity) behind them that make all of the difference.