Six Reasons Why You Should Have a Joint Account With Your Partner

Have you ever wondered the best way to manage your finance in marriage? We already know that financial management is one of the reasons for conflicts in the home and sometimes having a joint account could be the solution to the misunderstanding.

There is a school of thought that believes a joint account isn’t always a good idea in marriage. In this article, I would like to share six reasons why you should consider having a joint account with your spouse.

1. Improves communication:

Being in mutual agreement on how to manage the family income increases communication in marriage. It also enables the couple to plan and work together towards achieving their goals.  Being united in financial matters also help to increase the intimacy between the couple. According to Dave Ramsey: “if they can talk about their money they can practically talk about anything”.

2. Transparency and Accountability

When couples choose to operate a joint account, it promotes transparency and accountability. Also, unnecessary expenditure becomes limited.

 3. Enhances negotiation between the couple 

A joint account enables the couple to negotiate and consider the needs of each other. Unlike in a personal account where there is no such negotiation and care. Everyone acts as a boss of their own.

4. Reflects a great marriage

Couples who feel comfortable with sharing a joint account often trust one other. Also, being aware that your spouse has trust in your ability to manage the funds, would restrain you from doing anything that could break that trust.

5. It prevents infidelity

Having a joint account doesn’t only promote unity, honesty, and transparency, it also helps an individual to stay away from infidelity.

6. Your marriage is more likely to succeed

Currently, the number one cause of divorce in the United States is money. If a couple learns to jointly manage this very important factor in their life, the chances of staying together become much greater.

Things to Consider Before Setting up a Joint Account

Although a joint account improves the relationship between a couple, if not properly handled it can tear the relationship apart. Before setting up a joint account the couple is expected to discuss and agree on how the finance would be managed. The following should be considered:

Set a goal:

The couple should have an idea of how much money they wish to save in the account and the aim of saving the money. Is it for the kid’s education, vacation or buying a house? Set a goal and work on it.

Set a contribution amount:

The couple should agree on an amount that they will be contributing to the account.

Pick an institution:

Whatever banking institution you wish to use, you must make sure that it is convenient for both of you. Also, the funds should be easily accessible to both parties. If two debit cards are obtainable, you can request for it.

You still need an individual account:

It is necessary to have a personal account that doesn’t interfere with the joint account. It could be a savings account that you can manage and still be accountable to your spouse with regards to your general spending.

Choose the rights of survivorship:

In most joint accounts, when a holder dies the survivor has the rights to the money. Also, if the deceased had some debts then the survivor is assigned to pay the debt.

When two persons get married they are often referred to as one. Such oneness should also be reflected in their financial dealings. To manage a joint account successfully the couple must be honest, respectful, and diligent.  I see no reason why a joint account shouldn’t be encouraged in marriage because if you can trust your spouse with your body and other things, why not with your money too?