Describe your plan for joint financial responsibility as a married couple. Before saying "I do," it's important to talk about the practical matter of money management. While it's true that getting married generally makes financial sense, the question is how to make the marriage work out financially for you specifically.

If you want your spouse to trust you, you need to be honest about money. Separate accounts, a joint account, or a hybrid of the two are all viable options for couples when it comes to handling their financial matters.

While having individual bank accounts can help keep the peace in a household, doing so requires more forethought and could cause you to miss out on the most efficient method of handling family finances.

While sharing financial resources simplifies planning, it can also increase arguments if spouses have different spending tendencies. Having a joint account and individual checking accounts for both partners is an excellent way to keep tabs on spending and reduce arguments over money.

One of the trickiest subjects for couples is financial matters. Even if it goes against your grain, the golden rule regarding marital finances is this: Never lie. Talk about money openly and honestly if you want your relationship to succeed. Spousal financial infidelity undermines confidence and often ends in divorce court. Resist the urge to give in.

Budgeting as a Newlywed Couple

Many newlyweds may feel more at ease with their financial situation if they maintain their bank accounts, especially if they are both used to paying for their living expenses. When two people decide to live together, they may have different incomes and even joint debts. Keeping finances apart helps shed light on any tensions that may arise from spending vs saving habits or any other source of financial discord.

Having your bank account gives you much freedom, but you must also talk to your partner more often about who will be accountable for which bills. Expenses may be divided equally between partners. However, some couples may find it fairer to allocate costs based on their relative incomes. If you want to keep tabs on your spending, it might be easier to use a shared spreadsheet or a credit card to which you both have access.

Budgeting for home expenses and discussing long-term savings and retirement plans are still necessary. However, individual accounts allow you to have greater independence in financial decision-making.

Maintaining Your Spending Patterns

The pros include maintaining your spending patterns and settling any debts each partner brought into the marriage. If you and your partner can agree on how to divide household expenses, then you are using a "fair" manner of managing your finances and are less likely to dispute your partner's spending habits.

Cons: It's a lot of work every month to determine who owes what to whom. Adding kids to the mix or one of you who wants to go back to school or switch careers makes this money management technique much more challenging. You may not be investing to your full potential if you and your partner save for retirement or other goals based on your income.

Though there are some nuances to think about, this option is perhaps the simplest in streamlining your management style as a couple. All children's costs can be covered from a single, consolidated source, and there is no need to calculate or negotiate an equitable distribution of household income or to maintain a separate spreadsheet for tracking these costs. Keeping track of your budget is as simple as using a spreadsheet or some budgeting tools accessible online or as smartphone apps.

There is no need to divide up the family's finances every month, and there is no need to make any monetary adjustments as the family expands.

Disadvantages: If one spouse earns significantly more than the other, judging their spending habits may cause resentment. Secret gifts may also be difficult to keep under wraps.

With Both Individual and Community Contributions

While maintaining separate and combined bank accounts might be a hassle, it may be the most practical option for some couples. The concept behind this approach is to pool your resources and handle things like finances and retirement planning as a team. Also, a monthly stipend is deposited into each person's checking account.

This "personal fund" can be used for the individual's non-marital needs and wants and gifts for their partner. If you pay for things like $400 shoes or high-end headphones with your own money, your partner has no right to criticise you for doing so. To avoid disagreements, it's important to discuss and agree upon the monthly amount that goes into personal accounts.

One benefit of having a joint account is that it makes keeping track of finances and dividing payments easier, especially if the two people sharing the account have different incomes. Despite working together toward shared objectives and retirement, you're free to make purchases without consulting your partner.