leader pages - Fort Jackson - U.S. Army

Legal
Newlyweds face financial, tax changes
Capt. Chris Roten
Legal Assistance Attorney
As tax season approaches, this is the
first year many people will be filing mar-
wants lattes twice a day, each feels that
they’re not being stifled by the other.
The risk involved in having a joint
account is that the funds within the
If you’re in the market for a new home,
you’ll probably be applying jointly, and
that should be motivation for you to pay
down the debt together.
Legal Assistance
Office
ried joint tax returns. Most newly married account belong wholly and equally to both
Fort Jackson’s Legal Assistance
couples should expect to pay more in taxes you and your spouse. This means either of Examine your balance sheet
Office is located in the Office of the
than when they did when single.
you may, legally, withdraw the entire Before making any decisions about Staff Judge Advocate, 9475 Kershaw
For many newlyweds, the most serious amount in the account.
budgeting, investing or saving for a house, Rd., and is open from 9 a.m. to 4
conflict in their first year of marriage is
know how much is owned by both partners p.m., weekdays. Appointments can be
money. The most common mistake cou- Get on a budget
and how much is owed.
made by calling 751-4287.
ples make as they begin their lives togeth- Once a system is worked out, spending Put together a combined balance sheet, The office accepts walk-ins for liver
is not discussing money.
can be monitored. Go through the check- on which you list assets and debts and ing wills, health care powers of attor-
Merging a couple’s finances does book after about three months, and find update it semi-annually. Also check your ney and durable powers of attorney,
require a lot of work, initially. It takes a lot out where the money is going. overall portfolio and rebalance if neces- 1:30-3:30 p.m, Tuesdays and
of maintenance to keep everything up-to-
Then, a reasonable budget can sary.
Thursdays.
date and both spouses informed, but tak- be developed. At the very least, try You may discover that as a couple, Walk-ins are welcome for general
ing these few easy steps will
to spot problem spending you’re overweighed in one particular stock legal questions are accepted 9-11:30
save a lot of headaches ––
areas and concentrate or sector. Also, look ahead to retirement a.m., Fridays.
and arguing –– in the long
on reducing the and figure out a way to maximize contri-
run.
amount spent on butions to your 401(k) and IRA accounts
those items. and invest as aggressively as you should, dinner out or a movie after each financial
What’s mine is yours
So, if you find given your age and goals.
planning session.
The first challenge to new-
you’re dropping
It is essential to keep each other
lyweds is, inevitably, “how
too much cash on Paperwork, paperwork, paperwork informed, especially if one person tends to
do we manage the checking
restaurants and takeout If you thought planning the wedding deal with all the money maintenance,
accounts?” Some couples opt
meals because you’re both took a lot of organizational skills, wait while the other handles different tasks.
to lump everything together right
too tired to cook after work, until you try to track down everything that After all, it’s not cool to be leaving for
away; others decide to keep three
budget in a certain amount has your name on it –– or that you named work to give an important presentation to
separate checking accounts at first ––
of money for it. When a beneficiary for –– a mortgage, 401(k)s, your boss, and the other person says, “By
his, hers and ours.
you’ve hit that limit, you IRAs, disability insurance and life insur- the way, we’re overdrawn on our checking
While that may seem simpler initial-
can’t spend any more until the first ance at work.
account.”
ly, planners say that after a few years of
of the month.
If either of you have a will already,
marriage, couples find it easier to have
you’ll want to change it and if not, one Editor’s note: Fort Jackson has various
a joint account.
Pay down the dual debt
needs to be drawn up. These decisions are services to assist Soldiers and their fami-
If you decide to combine your checking It’s a common scenario: one person especially important for second marriages lies with financial issues.
accounts, experts say it’s essential for each comes into a marriage with a lot of sav- in which children are involved.
If interested in setting up a budget or
person to have his or her own spending ings, another enters the relationship with
further discussing personal finances, call
money –– and not have to tell the spouse credit card debt up to the ears.
Talk money
Army Community Services at 751-5256.
where it goes.
Even though the thrifty spouse is not Above all, it’s important to communi- If you have questions about tax liabili-
Give each other a little space –– money liable for debt incurred before the marcate regularly and openly about money. If ties or bankruptcy call the Fort Jackson
for those perceived extravagances that you riage, the free spender’s history is sure to that means setting aside a time each week Legal Assistance Office to set up an
don’t have to account to the other for. So if affect a couple’s chances of obtaining or each month for a state-of-the-finances appointment, or to speak with an attorney
she wants to have her nails done or he credit in the future.
chat, then do it. Reward yourselves with a 751-4287.