Operating Joint Account

Operating Joint Account

Should  a couple hold joint account?  

Surely there's nothing wrong with it as the two persons ought to have 'melted' to become one.  And it should be what should be aimed at as our marital relationships grow older and older.   

However, at the initial stage of relationship, I will always caution against it.  The reason is simple.  Everyone wants to maintain a level of flexibility and control over their earnings and would want to do certain things without a 'board resolution'.  Joint Account removes this flexibility and makes everything so legalistic that it becomes a problem instead of a solution.

Secondly, even though couples are one, it is not all the time that one person agrees with the spending nature of  the other.  Spendings on extended members of the family always pose challenges to couples as one person may favour while the other disfavours the quantum of money that goes to that segment of the larger family.  Where there's disagreement, it breads misunderstanding such that the couple's relationship may be in trouble.

The greatest challenge is that it is easier to enter into the bond of Joint Account but very difficult to opt out in case one party does not like it again.  It brings about family disintegration. 

What is to be done?  Don't enter into Joint Account relationship without a full (democratic) understanding that either party can terminate the relationship at any point in time if he or she discovers it is not workable.  Let this be thoroughly understood form Day 1 and do not hesitate to apply the rule when the need arises.  Flexibility is the sole of a successful management of Joint Account relationship.   It should be sufficient for one party to call the other and say "let's separate accounts' without creating a bad blood.  How many people is matured to accept this request on a platter of gold?  My recommendation is that couples should not rush to operate joint account.  

How do you manage your own life in this direction?  Nothing to hide for I should be preaching what I practice.  This is the way we manage ours.  My wife and I are on the latter part of our 3rd decade in a successful relationship.  We thank God for the grace. It was only last year that I decided voluntarily to make my spouse signatory to all my accounts. I know her enough now.  Even if anything happens to me and she takes over all I have, she deserves it and I have nothing to lose whereas I am joyful I am married not to an angel but to someone who has good conscience!  Not only that, I know her spending nature such that I know I am safe in her hands.    Also it makes life easy for my entire family should anything happens - all she needs do is to carry on as if nothing has happened.   This of course will make life easy for her and our children.  

To further expand this, at a stage, I am seriously contemplating introducing all my children that have attained the age of 21 and above as co-signatories to my account.  I've no fear doing this because they've been brought up not to be greedy for gain.  Also, it will be done such that no one person can singularly operate the account without the knowledge of the other.  This way I am envisaging that life should be smooth even if both mum and dad, for one reason or the other cannot operate my accounts.  By the time we are old and gone, our children should be able to smoothly manage our estate without let.

So talking about Joint Account, it is good but it should be handled with care and full understanding of its benefits and implications which all who adopt it must be privy to.  Good morning.

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