how can we make it work with joint checking?

Question

my husband and i currently have separate checking accounts. i see people saying relationships work better with joint checking. we have problems paying the bills every month and making ends meet. we overdraw each account almost every pay period. should we wait until we are ahead again to get a joint account or just go ahead and will it help us in any way? do you have some tips on how to combine finances?

Answer 1

Combining two overdrawn accounts seems to me to equal just one overdrawn account. Overdrawing an account signifies an inability to accurately keep track of money in and money out. You need to think about what you are going to do differently in order to change that habit, otherwise, it's not going to make any difference.

A lot of time, people get caught out with not keeping track of debit card transactions on an account. Try to make a habit of ALWAYS writing down the amount, even if you're using it to swipe a $4 Starbucks. Or, make yourself a cash allowance each week for small incidentals and never use your debit card for those kinds of transactions. They add up really, really fast.

In our family, we have a joint account that we both contribute to in order to pay household bills out of, but we each have a personal account that we have for our very own and are answerable to no one on. If I want to pay $100 for a haircut, I don't have to explain it to my husband, and if he wants to pay $100 for some new computer-thingy, I don't roll my eyes. :-) We give ourselves an "allowance" for personal stuff, and the rest goes into the joint account. We'll use the joint account for mortgage, bills, vacations, school tuition, kid's expenses, etc. We each have a debit card for the other's personal checking account, too, so that if we run short or an emergency pops up. we're covered.

Answer 2

If the real problem is more bills than money at the end of the month, having a joint checking account will not solve that problem.
Where a joint account may help is if it used as a way for both of you to sit down together monthly to discuss what the money was spent on. As you walk through each expense and come across expenses that you both agree are frivolous or can be reduced, that's the time you both agree to limit or not to spend money on those items in the future.
I would recommend getting a joint credit card, setting up a joint checking account, and each person funds that joint account based on a percentage of their earnings that you both agree is fair. When the credit card bill comes, you review the expenses, discuss the items you need to limit or stop spending on, and pay the credit card bill from your joint checking.

Answer 3

I don't think getting a joint checking account will solve the main underlying issue, which appears to be the disconnect on how you two approach your finances. Rather, perhaps you two should first have a discussion on why you decided to have seperate accounts in the first place and how you manage your money reflects your financial values. Then you should have a discussion on your financial goals as a couple. It seems as though neither person wants to have financial accountability to the other, perhaps for fear of being judged or scolded. I have found that this is never an ideal situation for couples. It impedes communication, honesty, and goal building. If you don't mind struggling to make ends meet, then that's fine but if you want something more, then you're both going to have to agree to change your respective ways. What that means is creating a "household" budget; realizing there is no more "his" and "her" money; having accountability for what you spend; and communicating about where you would like to be financially in 1, 5 and 10 years. Getting married is about building a life with your partner, not about who gets what money to buy what toys.

Answer 4

I have a joint with my husband and it was okay until he got a debit card of his own. He is constantly forgetting to give me the receipts. My daughter in-law has her own account and my son gives her a certain amount each week cover the bills. They have their bills split up week by week. They don't seem to have a problem. I definitely believe one person should take care of the bills but keep the other informed. You need to sit down and make up a bill plan. I don't think it is going to matter when you set up the joint account as long as one person is taking care of it and the other is kept inform. I would suggest the person not taking care of the bills have just an "allowance" every week. Also, the person who is stronger mathematically as well as the person who has the willpower not to spend money should take care of the bills.

Answer 5

Some people cannot make it work with two accounts...it seems you and your husband have to reconcile that once you combine finances that it won't be his money and your money but the family money. If you can handle that then it may work. Why do you have problems paying the bills right now? Is it because you feel like you have your financial responsibilities and he has his and that doesn't necessarily cover all the responsobilities? If you can't make it work with two the likely hood is it won't work any better with one until you get a monthly budget going and stick to it.

Answer 6

You can open a joint checking account for household expenses and both contribute to it. You can maintain your separate accounts.

If both of you overdraw your checking accounts, however, there are serious issues you need to confront. Having a joint checking account will not address these issues - it will compound them if the root cause is not solved.

Answer 7

Good advice already posted but let me add one thing. If you keep overdrawing your accounts, the bank may decide to close your accounts. And if they report your frequent overdrafts to Chexsystems, you could find it difficult to get another checking account. A lot of banks look up a Chexsystems report before opening a checking account and if they see problems, they will refuse to open an account for you.

Now that's not guaranteed to happen, but it happens a lot. You should be taking steps to avoid overdrafts.

Answer 8

i think that if you keep a checklist on the amount spent for grocierieys how much for gas in a single month drugs boo'z or something else you know look at what u have from what u dont even use maybe seper8 from a lawnmower and garding tools like the hoe the rake and stuff like that keep a very close check list u and your husband or something that might work

Answer 9

My wife and I have our checks direct deposited in a single account. We pay for everything out of that. Never been a problem for us - been married 21 years.

Answer 10

You definitely need to write down a financial plan and a budget. As long as you both agree to stick to the plan, you'll be fine.

If you don't know how to do a financial plan and budget, then get professional help. See if there is a Certified Financial Planner (CFP) in your area.

Doing a plan and sticking to your budget will get you out of debt and on top of your financial worries.

Watch out for financial advisors who simply try to sell you life insurance.