Money Minute: Pros and cons of joint, separate checking accounts
PITTSBURGH (KDKA) - Does the marriage of two souls also have to mean the marriage of two wallets?
KDKA Money Editor Jon Delano weighs the pros and cons of joint versus separate finances in this week's money minute.
Do you and your spouse have a joint checking account, or do you keep separate accounts? Many couples don't talk about this before marriage, but it is one key financial decision everyone faces.
When two working people marry, they come into a legal relationship with two separate checking accounts.
Some couples combine the two into a single joint account. Many say that fosters trust, increases transparency between the two, and certainly makes it easier to keep track of income and expenses in your household.
But there are some downsides to a single joint account.
First, neither spouse can act independently, creating stress as you account to each other for your spending habits. You end up talking money more than you wish, and in a worse case, one spouse can bleed the entire account in a heartbeat.
One compromise is separate checking accounts for each spouse for their own income, but a joint household account to which both contribute to cover all household expenses.