SHOULD I HAVE A JOINT ACCOUNT WITH MY SPOUSE?
“Life Is a Topic, Money Is a Tool; Let’s Talk About Everything.”
I am not married!
However, I like money, and I have conversed with the married and discovered that whether you ignore it or not, you will deal with money when you share everything with someone and that is why we must sought this out now. One of the main chats you should have as a couple is how to handle money. Some couples feel that marriage is a partnership in which everything should be shared, including bank accounts, others value independence extremely. There are no hard and fast rules about the best type of account. Whatever works best for both of you, as a couple should take prevail.
According to The Balance, “Some couples may feel a loss of financial independence with a joint bank account, especially early in the marriage. With separate accounts, each spouse maintains an individual degree of freedom over their finances.”
Does the joint account have advantages? If they do, does the advantage outweigh the disadvantages?
The pair have a career, they have plans for children, investments, vacations, assets etc. is it feasible to have an account together and start saving towards this plans, is it ideal to even have a joint account when it could be the source of a misunderstanding in the family?
Having a joint bank account offers a number of benefits. For instance, sharing an account allows each spouse access to money when they need it. It offers the ability to make deposits and withdraw funds. If your bank provides a checkbook and debit cards, each of you would also have online access to account information and tools, which can simplify paying bills and other shared financial tasks. If you have a good relationship with each other, then there’s no need to be worried about the possibility of being checked up on financially. As long as you can be open and honest about your finances then there should be no problems.
Another benefit of having a joint bank account is that there’s a minimal chance of coming across financial “surprises” when all money goes into and comes out of one account that both of you can see.
One of the drawbacks of a joint account is that a Joint account may sometimes come with emotional barriers.
The trust factor; What if your other half went on a spending spree or purchased something that was expensive without letting you know? You have to trust your other half before setting up a joint bank account.
Another disadvantage is a fact that some people may earn more than their other half and feel that by getting a joint account, they are giving up their hard earned cash and will no longer have the freedom to spend as they see fit. A way around this is for couples to keep their own bank accounts as a ‘spending allowance’ and set up joint banking just for bills.
If you do decide to combine finances, it’s important to start off on the right foot. Make sure you check out the best banking deals from a number of banks before you open an account, as some may offer sign-up bonuses (here is an overview of Nigerian banks and their details)