Putting the rags together is no longer the easiest decision. In addition to emotional and relationship issues, the couple must hit practical points of daily life, such as the sharing of expenses. In this context, a very common question is whether or not it is worth opening a joint account.
The fact is that there is no single way out of this question. This will depend a lot on the couple and how they view their finances.
“I believe that once you decide to marry or live together, you should talk about it. Consider that both will have their individual and couple goals and analyze the advantages and disadvantages that each observes ?, evaluates Gisele Kobayashi, financial advisor and managing partner of CK Training.
Knowing that transparency is the couple's main ally when talking about money, the expert believes that it is essential that both are willing to listen to each other and open to reach the best way to address this issue.
Check out some of the advantages and disadvantages of opting for a joint account:
Benefits
1. It is easier to organize the couple's expenses.
By concentrating all expenses in one place, the problem of always having to divide the expenses in half or in proportion to each one's salary ends;
2. It is cheaper to invest in pairs.
"The greater the capital invested, the more product options and better returns," says Gisele. Thus, instead of each paying a management fee for their resources, when the investments are pooled, the cost becomes lower.
3. Medium and long term plans become clearer.
Bringing the accounts together in the same place makes it easier to have the couple's spending size and thus set goals for the common medium and long term goals. "The joint account can facilitate planning for a trip or purchase of a higher value property, such as a car or property," said Felipe Canal, economist and financial planner responsible for the website Canal Canal.
Disadvantages
1. The higher the transparency, the higher the charge.
Sharing the checking account means having to give frequent satisfaction about your spending and this can lead to discussions. One solution is to stipulate an allowance for each. This way, each one can spend their part in the best way, without compromising the budget ?, advises Gisele.
2. End of financial independence.
No way, with the joint account your partner will know everything you spend and vice versa. This can be a cause of attrition especially for couples who prefer not to know how much each earns. "Spending in a confidential manner, without informing the partner, could be interpreted as financial infidelity and generate fights", warns Felipe.
How to solve this impasse?
The economist points out a good alternative for couples who are willing but still afraid to take that step: keeping separate individual accounts and just pooling common expenses into the joint account.
This minimizes the stress of discussing money and especially spending. Maintaining individuality for their personal spending and investments is critical for the couple to maintain the health of the relationship ?, concludes.
How To Manage a Joint Bank Account (April 2024)
- Relationships
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