Finance Debate: Separate vs. Joint Checking Accounts
If you are in a relationship, you may be tempted to have a joint checking account with your partner. However, this may not be the best idea. There is a school of thought that says keeping your money separate from your partner’s money can lead to a happier relationship.
Separate Accounts Promote Financial Independence
When you have separate savings and checking accounts, you are free to spend your money as you see fit. If you come into the the relationship with a lot of debt, why should the other person in the relationship feel obligated to put their money into a pool that will be used mainly to take care of your debts. If you have bills to pay, you should use your own personal checks to take care of them.
Joint Accounts Are Convenient For Joint Bills
Bills such as a house payment or electric bill should be split in half. In other words, each person should be contributing to the bills that each person incurs while a part of the relationship. Putting a set amount of money aside each week or month ensures that there will be enough money to pay for the house that each person lives in or the car loan that each person is responsible for paying down. This also proves to be beneficial for the long term budget planning. Specifically this benefits a retirment plan or any other investments needed to build a life together. This will give the relationship a certain perspective of the future and how things are looking, making it easy to discuss and plan together.
Keeping Your Finances Separate Stops Fights Before They Start
As long as you work and pay your share of the joint bills, you should be able to use the rest of your money as you see fit. By purchasing a new TV or a pair of shoes from your own personal account, there is no need to justify why you spent that money. This can stop fights over money from getting out of hand because there will be no fight. The seperate account will also be able to each one of you develop a suprise for the other with a gift or getaway that was completely unexpected. Having seperate money allows the freedom to do whatever you choose and it creates harmony within the household.
Joint Accounts Make It Easier To Create A Budget
Households that are attempting to make a monthly budget may find it easier to do so by combining all the money that is brought in each month. If you have consolidated your debt, writing one check a month from a joint account can be the best way to go. You can visit http://www.checks-superstore.com/ to order checks that can be used for this purpose.
There is a case for having separate or joint checking accounts when you are in a relationship. The key is to find a solution that works best for you and your partner. If money is truly a sticking point in your relationship, it may be best to keep the accounts separate until something can be worked out.
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Category: Family Finances
