In this blog article, we'll explore the key considerations involved with combining or separating finances in a legal union or divorce.
Merging lives with a partner or spouse can be both challenging and rewarding. Yet few aspects of this process are as complex as deciding whether to combine finances—and if so, how.
Indeed, sharing a financial life with another person offers a variety of joys and benefits, such as collaboration, mutual support, and shared financial goals. But it can also lead to misunderstandings, resentment, and in extreme cases, divorce.
In fact, numerous studies show that money is the number one source of contention among married couples. Furthermore, arguments about money are a top predictor of divorce in countries like the United States, according to data from the National Survey of Families and Households.
How you navigate the journey of combining finances as a couple, or the potentially tumultuous task of separating finances during a divorce, can have a substantial impact on your financial health and overall well-being. Whether you’re taking the next step in your relationship or unwinding one, the following considerations can help you maintain your financial stability and avoid potentially costly missteps.