News: Media Kits: Living Well Week
News Article
March 12, 2006
Getting married? Financially, one plus one might equal three
Writer/source: Michael Rupured (mrupured@uga.edu) 706/583-0054
Money — whether it's cold, hard, green, silver, too much or not enough — and communication about money is the number one source of strife for newlyweds.
Couples can help alleviate some of the confusion by discussing finances long before the wedding day arrives. These discussions should include how they will handle their banking relationships.
One solution finds one plus one equaling three. Each person might want to maintain his or her own account in addition to having a joint account for household expenses. If the couple has two paychecks, both could be deposited into the joint account with an "allowance" given to each person for his or her separate accounts.
Another option would be for each person to be responsible for depositing a set amount into the joint account each month, leaving the rest of their paychecks for personal use. Maintaining personal accounts helps alleviate the concerns of spending "our" money on what one person might view as a frivolous purchase.
Some feel money should be joined along with everything else in a marriage. These couples may elect to have all joint accounts. Because two or three accounts might mean two or three service charges every month, these couples should consider consolidating their finances.
Whatever the preference, newly married couples should start talking about how to structure their finances before they say "I do."
Once the couple decides what kind of accounts they want to have, they should shop around for a bank. Many banks offer deals, such as free safe deposit box rental or a credit card with no annual fee, to people who hold more than one account. Good customers mean income to a bank; account holders should ask to have fees waived even if a bank doesn't offer to do so.
Finally, newlyweds should be aware of any debt incurred before the wedding by either party. Being up front with one's future mate about finances will help to pave the way for peaceful resolutions on future bigger issues, like buying a house, planning for retirement and financing children's college education.
(Michael Rupured is a UGA Cooperative Extension family financial management specialist with the College of Family and Consumer Sciences.)