Should you have a savings account for yourself if you share one with a partner? Australia’s savvy women weigh in on controversial topic
- Savvy women are split on whether you should have your own savings account
- Many said a separate account is ‘essential’ to ensure financial independence
- While others said they were happy to pool all their money with their partner
- A woman all assets in de facto relationships are legally divided independently
Australian women debate the importance of having their own independent savings account even if you have pooled your finances with your partner.
Most say having your own financial independence is “necessary” in any relationship, while some say a relationship is an “all-inclusive” deal and they share all their money.
In a post on the popular Facebook group, She’s on the Money, a member asked, “What does everyone think about having a savings account for yourself, even if you have a shared account with your partner? ?” with hundreds offering their two cents.
Should you have your own savings account in the relationship? Some women say it’s “necessary” while others are happy to pool their finances with their partner’s.
“I personally think this is crucial and super important to my financial independence and security, but I find it hard to explain why,” she wrote.
The wise woman explained that her partner earns a lot more than her and that after living in manipulative relationships she finds financial independence “super important” for her “safety and security”.
“I’m hesitant to join our accounts because I wouldn’t be able to contribute the same or similar amount while keeping some separate for me outside of shared expenses and discretionary funds etc.”, he said. -she adds.
Her post prompted a flood of responses from thrifty women explaining why they think a separate savings account is “necessary” and a “good idea”.
A Facebook post drew a flood of responses from thrifty women explaining why they think a separate savings account is ‘necessary’ and a ‘good idea’
“Women should always have a ‘just in case’ fund that no one else can access or even potentially knows about. You never know,’ one person wrote.
“I’ve always been told to have ‘money on the run’. You can never predict the future, and I think having your own nest egg and financial independence is very important!” another commented .
Some said their money was completely merged with their spouse’s and talked about how they kept their joint finances on track.
“For me, marriage is about being ‘all in’ and a team. So my husband and I share everything. We also don’t put limits on what we spend (although we do discuss big purchases). We have children so that plays a part as they are definitely our biggest expense,” one mum said.
“We are the same, but without children. Everything is attached and we have no ‘allowance’ each or spending limit. It’s easy to follow, everything is transparent and it works for us! a second replied.
Some said their money is completely merged with their spouse’s and how they keep their joint finances on track
One commenter pointed out that in a common-law relationship, where you and your partner live together without marriage, all assets are pooled, regardless of separate accounts.
“It’s a good idea to keep it separate for security reasons because they can’t take your money out, but beyond that, if you’re de facto, everything you own is part of the money pool. active in a split, even if it’s in individual names,” she explained.
“So just know that it doesn’t really make a big difference to security/legal beyond the fact that they can’t drain your bank account and run away with it.”
Another who had been through a separation herself agreed that independent savings accounts “mean nothing” if a de facto relationship breaks down.
“In a financial separation/settlement, all assets are included, regardless of who owns the accounts or who contributed to them,” she said.
Eight important questions to ask your partner about money
1. Would you like to pool your money in a joint account?
Agree if you want to combine your money, keep separate bank accounts, or have a mix of both. Be sure to discuss what happens if one of you receives an unexpected windfall as a bonus.
2. Do you have any debts?
Find out if your partner has any outstanding financial obligations, such as outstanding credit card or loan debt, mortgage payments, or commitments such as child support. Consider this in all discussions, especially if you’re saving for something together or pooling your income in a joint account.
3. Are you more thrifty or spendthrift?
Find out if your partner is spending everything they earn each week or saving or investing their money. While their answer might not affect you now, it might when you choose to save for something important like a deposit for your first home or a vacation.
4. Do you budget for things?
Some people are meticulous in their budgeting (using apps to track their budget), others are a little less strict in their approach, and many don’t budget at all.
5. What is your credit history?
Your partner’s answer to this question could determine whether you get approved for credit from a bank. Credit issues will arise when you apply for things like a personal or home loan, credit card, or rental approval together.
6. Will we live on one or two incomes?
Sometimes this is driven by a discussion about having children and taking paternity leave. This may prompt you to reconsider your approach to having separate bank accounts.
7. Do you have any investments?
It’s worth knowing your partner’s overall financial situation, especially if you’re considering investing together. You and/or your partner could also be financially affected by the rise and fall of investments.
8. How much do you have in your super fund?
It’s important to keep tabs on how much money you both have in your retirement pension funds, no matter how far you are from retirement. You might want to consider supplementing your super with contributions.