The benefits I’ve gleamed from utilizing a joint account to pay bills but individual accounts for independence/incidentals are as follows:
The joint account forces you to know exactly how much is needed monthly for your expenses and thus that is how much goes into the account (plus a buffer). Unlike strictly maintaining a joint account, it is easier for both incomes to be added into the account with no real oversight on how the money is delved out to bills.
When utilizing a joint account only, the spending from one partner may be far greater then the other because they now have excess income to spend, leaving one persons attempts to save money left in tatters. My experience has been that most people are terrible at saving. This can be a major contention point in relationships.
If you are on a tight budget, imagine checking your bank account and seeing you have $100 to spend. Both partners believe they have money to spend, so one buys groceries, while the other purchases gas. Both essential. But now that tight budget is in the red and you are being charged a heft overdraft fee and depending on when payday is continued overdraft fees per day. Both parties were responsible and yet the error still occurs.
Independence is probably the biggest reason I’d recommend still having additional accounts for savings and incidentals. Not to be pessimistic, but there are pretty good odds that a relationship may not work out. You should be able to comfortably understand your finances and regain control of your funds. Not to mention the other reason in the original post such as birthday presents, or getting that little something for yourself that you’ve saved up for without having to worry about the explanation.
OIIIOjeep t1_j9vea4k wrote
Reply to comment by Carpsack in LPT: Maintain separate bank accounts when you get married by The_Stein244
The benefits I’ve gleamed from utilizing a joint account to pay bills but individual accounts for independence/incidentals are as follows:
The joint account forces you to know exactly how much is needed monthly for your expenses and thus that is how much goes into the account (plus a buffer). Unlike strictly maintaining a joint account, it is easier for both incomes to be added into the account with no real oversight on how the money is delved out to bills.
When utilizing a joint account only, the spending from one partner may be far greater then the other because they now have excess income to spend, leaving one persons attempts to save money left in tatters. My experience has been that most people are terrible at saving. This can be a major contention point in relationships.
If you are on a tight budget, imagine checking your bank account and seeing you have $100 to spend. Both partners believe they have money to spend, so one buys groceries, while the other purchases gas. Both essential. But now that tight budget is in the red and you are being charged a heft overdraft fee and depending on when payday is continued overdraft fees per day. Both parties were responsible and yet the error still occurs.
Independence is probably the biggest reason I’d recommend still having additional accounts for savings and incidentals. Not to be pessimistic, but there are pretty good odds that a relationship may not work out. You should be able to comfortably understand your finances and regain control of your funds. Not to mention the other reason in the original post such as birthday presents, or getting that little something for yourself that you’ve saved up for without having to worry about the explanation.