Marriage offers many financial advantages and pitfalls. / Image: Marcus Hansson/Flickr/CC BY

As June approaches many couple are looking forward to their intended nuptials.  But have they considered the financial ramifications?  Standard wisdom has it that two can live more cheaply than one.  However, our ever-changing financial world begs many not-easily-answered questions which the informed couple should consider.  While marriage offers many financial benefits, it comes with potential hazards, too.

Marriage premium on the decline

Married people increase their wealth an average 16% a year, while single people do so at half that rate, according to researcher Jay Zagorsky.  Yet, research by  the Russell Sage Foundation indicates that the financial advantage of marriage has been on the decline since 1969. The reason for this is that single women, even those with children, are better at supporting themselves than they once were.  More women are working for competitive wages, and they are having children later in life.

Shared expenses

Splitting the bills with a combined income is the most obvious  way to make the economics of partnership work.  Combining utilities make for substantial savings when split by a two-income couple.  Tech spending also generally decreases .  Shared internet connections, phone plans, and cable packages are some examples.

Property advantages

Property, which is more easily shared between married partners. Unmarried couples who jointly own a home find themselves in very tricky waters if they split up.  This is especially true if only one of them has his or her name on the title.

Joint checking accounts

The same rule applies to checking accounts owned jointly by unmarried people.  Either partner is capable of withdrawing money at any time, even if the couple splits.  Generally assets gained during a marriage are considered joint property, though these rules vary by state.

Health care considerations

Although the rules differ greatly from employer to employer and from state to state, most providers offer substantial benefits for married couples.

Tax advantages and disadvantages

The tax burden of a married couple can be an advantage or a disadvantage.  Whether filing jointly or separately,
married people often pend more than they did when filing singly.  This is particularly true if both partners are high earners, forcing them into a higher tax bracket.  However, the ability to share deductions for children, mortgage and other concerns can also result in substantial savings.  The pros and cons in individual situations need to be considered to determine which outweighs the other.

Another tax advantage, which most new couples would probably rather not consider, is that married couples do not have to pay estate taxes.  Widow and widowers alike inherit the wealth of their deceased spouses without paying federal estate taxes.

When the partnership dissolves

Marriage also offers financial advantages and disadvantages in terms of dissolution. When married couples divorce, one spouse often is legally required to pay alimony to the other. This is an advantage or disadvantage, depending on which side of the equation one stands.  When unmarried couples split, there is generally no legal financial obligation on either side.

Sources

Time Business
MSN
USNews

A recent survey said that 40 percent of Americans think marriage is obsolete, but there's more to the story. Image from Wikimedia Commons.

A recent survey said that the social institution of marriage was becoming obsolete, according to some people. The traditional view of marriage has certainly been challenged and in some cases it is for good reason. However, the institution of marriage might not be as obsolete as some might think.

Signs of hope for institution

The study in question, conducted by the Pew Research Center and TIME Magazine, said that up 40 percent of Americans think marriage is becoming obsolete . However, the people who provided that answer didn’t define how they meant it — for instance, it’s unclear whether they meant they thought it was obsolete, or thought it was becoming that way due to societal trends. There are some glimmers of hope for marriage in the study.Of the already married subjects of the survey, more than 80 percent reported their marriage was as good, if not better, than their parents’ marriage. Of married adults, 93 percent said love was the most important part of getting married, and 84 percent of unmarried people agreed.

Divorce rates falling

One of the largest changes in the American landscape over the past century is that women have entered the workforce in record numbers. Of American wives, 61 percent are working in some capacity, and having fewer children. Despite the notion that divorce is spiraling out of control and threatening the very moral fabric of America, divorce rates are actually declining. However, the Pew Center/TIME poll indicated that 52 percent of adults are currently married, though that says nothing about how many will marry later on. Interestingly enough, nearly two-thirds of married couples were college educated, but fewer than half of people with a high school diploma or less were.

It is not that marriage is not valued

If there is one thing that is clear from the survey, it is not that fewer people value marriage. Quite the contrary; it seems that people value being in a good marriage more than just being married. If anything, that means that people have more respect for the institution than disdain.

Sources

TIME Magazine

Pew Research Center

In terms of divorce, are there health concerns to consider? (Thinkstock)

The effects of separation are crucial. According to the recent Census Bureau report released earlier this month, there is an increased number of single Americans, and about 106.4 million citizens are included in this group of households. The primary causative factor of this growing rate is divorce. Divorce is another stage of adjustment. It is a sensitive family issue that primarily should bring stability and security among every household member.

Irony of marriage

Divorce is a life-changing event, just like marriage. Marriage is a challenge; it is a life-long commitment and exploration. It is an adventure in which many couples  find happiness and contentment. Marriage is a mixture of joy and pain, pleasure and difficulty, and love and sacrifice. Today, couples are resorting to the separation of this life-long pledge for various of reasons. Infidelity, incompatibility, violence and miscommunication are some of the many reasons why couples choose to divorce.

Statistical outcomes

America’s health departments conducted several studies on modern family life. The National Survey of Family Growth is the study that focuses on nationwide family issues regarding marriage, fertility, divorce, pregnancy and children’s health. Divorce rates for the past five years were one of the data-gathering projects facilitated by the group led by Bramlett, Matthew and William Mosher.

In the research, women ages 15-44 years old were used as a sample in 1995. It was published in National Center for Health Statistics that 43 percent of the marriages studied ended in a divorce. Most couples in crisis overlooked the option of obtaining a payday loan or an installment loan to help fund marriage counseling.

Health concern

Divorce is also a health concern. Its aftermath is critical, though there are valid reasons for every separation. Children, however, are the most affected in every divorce. Just like any couple, they also experience certain adjustments and a change in routines. Health compromises the entirety of an individual’s wellness. The physical, socio-emotional, psychological and spiritual dimensions are included in assessing health. It is a continuous re-examination of the advantages and disadvantages of the decision.

For better or for worse

Research psychologists E. Mavis Hetherington and John Kelly published a study titled “For Better or for Worse: Divorce Reconsidered” in 2002. Their investigation proved that 25 percent of children are distressed by divorce. These children considered separation of their parents as a traumatic event. Invalidating marriage also causes stages of grieving — denial, bargaining, anger, depression and acceptance. The processing of pertinent documents is fast. However, it takes years to accept the reality of farewell.

Sources

The Huffington Post

Match.com on Yahoo!

Marriages coming apart

The Center for Disease Control’s study showed certain causative factors attributing to the growing nullification of marriage. Some couples are so busy with their work and financial obligations in the family they slowly begin to neglect each other. Some break their promises of loyalty while others become physically and emotionally abused by their significant others.

Securing a marriage

Sometimes, marriage is accompanied with sadness and difficulties. Past events are important features of our lives. It is advisable to reminisce over romantic events, instead of the traumatic ones. There could be a certain point in a married life where we begin to regret the current situation, perhaps due to many responsibilities in the household. It is effective to communicate these sentiments in a calm and straightforward manner. Honesty is still the best policy. Unfortunately, we all have our flaws; both parties should accept each other – even disgusting, humiliating mannerisms or routines. Choice is a basic human right. We choose our partner. It is not purely on fate so, whoever it is, it’s always our decision. A famous writer said, “True love can only happen after you’ve fallen out of love, when you begin choosing to love, even if you don’t feel like doing it.”

Falling in love again

Boredom can cause devastation in married couples. Adventure is one way to rekindle the flame of passion. There is no absolute rule on how to maintain a loving, sweet and cozy environment within a marriage. But it is worthwhile to consider the possibilities of falling in love again with our spouse, rather than resorting immediately to divorce. Marriage involves effort. Love stays forever — if we constantly work on it. Sometimes couples seek the help of marriage counselors to work things out, even if it requires some form of quick financing, such as a payday loan or an installment loan. Before you make the decision to divorce, consider your options.

Sources

About.com

The Post-Journal