Do you and your spouse have separate bank accounts? Do you think having separate accounts is a good idea in a marriage?
One of the issues newly married or engaged couples face is whether or not to pool their money into one bank account or to to keep separate accounts. This is a tough decision to make. On the one hand, separate accounts can reduce stress in a marriage and somewhat protect the individual spouses should a divorce occur. On the other hand, separate accounts can cause, not reduce stress in a marriage.
Separate bank accounts can help maintain financial and even emotional independence. The idea of having money that doesn’t have to be shared or explained can make some spouses feel more secure. Since many couples marrying at older ages, they come with a history of assets and debts that they may not want to share.
Merging bank accounts forces a couple to be able to manage their money effectively together. While this can cause conflict, being able to learn such an important skill should ultimately make the marriage stronger. Having a joint account can make paying bills easier. As long as spouses check in with one another on the subject of finances, having a joint account can build a sense of teamwork.
Joint accounts minimizes privacy, which can be a good or bad thing depending on the marriage. If one spouse complains all of the time about the spending habits of the other, things could get irritating. On the other hand, as mentioned above, a joint account offers the opportunity to work out financial issues.
Separate accounts are a must in certain special situations, such as when one spouse is paying alimony or child support, if one spouse is trying to repair poor credit, and if one spouse gets a large inheritance (although the inheritance can be used for joint needs, having the inheritance listed jointly can sometimes cause issues).