During divorce proceedings, bills still have to be paid, but the lines become blurred over which bank accounts are going to absorb those expenses.
There are a few options here:
1. Retain a joint bank account into which the paychecks are deposited and the bills are shared.
2. Have separate bank accounts with some amount of money being deposited to each account every month and pay bills separately.
3. Cash out savings accounts or investment accounts to fund each spouse’s checking account. This division is taken into account in the overall property division.
I have seen each method work depending upon the spouses’ relationship and personalities. I have also seen each method cause problems. Sometimes one spouse wants to maintain control of the money and the spending. This is prevalent when that spouse has historically played this role. However, doing this may evolve into the situation where the non-money spouse treats the source of funds as a deep pocket without limits. Again, results depend upon personalities and communication.
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