Valentine’s Day is just around the corner, but when it comes to your finances, mixing love and money is still proving tricky for many Aussies.
The latest research from smartbank, 86 400, shows that nearly three quarters (74 per cent) of 1000 surveyed Australians admitted to having disagreements with their partner about money.
Money is particularly contentious at the beginning of a relationship (or for younger Australians) according to the survey. 82 per cent of 18-24-year-olds argued with their partners over money. But only 55 per cent of 35-44-year-olds clashed when it comes to their finances.
In fact, 86 400 research found that more than a quarter (27 per cent) of all respondents admitted to thinking their partner is not good with money.
And speaking of the day of love, for those expecting a Valentine’s Day gift, keep an eye on your joint account. 65 per cent of male respondents admitted to using money from a shared account to buy presents for their partner.
More 86 400 survey results on how Aussie couples share money:
- More than a third (36 per cent) of respondents take 1-3 years to combine their finances with a partner. A quarter (28 per cent) combine their finances within one year of being in a relationship, and only 17 per cent wait between 3 and 5 years.
- Less than half (45 per cent) of respondents choose to share their finances due to getting married. However, this was the biggest reported trigger for combining finances.
- 2 out of 3 respondents (66 per cent) use their shared accounts to pay bills, such as rent, utilities and groceries.
The joys of joint accounts
Combining finances into one account is not a concept just reserved for couples. Many households – whether families or flatmates – find it an easier financial solution to pay bills or save for life events, like holidays or renovations.
Most bank and savings account providers allow customers to open joint accounts. However, there are some providers offering innovation in the world of shared finances.
In December 2020, 86 400 launched Shared accounts, featuring a 30-second sign up process for applicants. Signing up for a standard joint account typically takes longer than if you went it alone, as the provider needs to assess the personal information of more than one applicant. 30-second sign up processes shorten this time significantly.
Further, Revolut’s Vault account allows more than one Revolut customer to join together their savings goals into a Group Vault. Friends and family can link their bank accounts to the same group. The Group Vault allows you to round up any spare change into it, deposit dedicated amounts each month or even invest a one-off amount in different currencies, including Bitcoin. Withdrawal permission also needs to be granted for members to dip into any funds, so it limits the amount of potential relationship stress involved.
When it comes to mixing money with love – whether romantic, familial or platonic – it’s worth keeping in mind that it can add additional stresses to any relationship. Ensure you trust the individual or group you’re considering combining finances with and set clear rules and expectations before you apply.
High interest joint savings accounts