Factors Associated with Couples Pooling their Finances

The purpose of this study was to document factors associated with a couple’s decision to manage finances entirely jointly (i.e., pooled), somewhat jointly, or separately. Based on survey data from 636 married or cohabitating respondents, test results showed that married and less well-educated individuals are more likely to pool finances with their partners. Additionally, it was determined that the odds of partners pooling finances increase as the size of a household increases and when the household exhibits a positive net worth. In this study, households with two income earners were approximately 50% less likely to pool their finances compared to households with one income earner. It was further determined that those who reported agreeing on issues related to spending were more than twice as likely to pool their finances as compared to those who did not agree with their partner on issues related to spending. The findings from this study advance the marriage and family therapy literature by showing that financial integration style and financial decision-making responsibilities are separate constructs and should not be used as proxies for one another.