{"id":368,"date":"2007-01-14T10:04:00","date_gmt":"2007-01-14T10:04:00","guid":{"rendered":"http:\/\/74.53.225.194\/~story1\/mdmproofing\/iym\/weblog\/?p=368"},"modified":"2010-04-10T09:21:50","modified_gmt":"2010-04-10T14:21:50","slug":"suze-orman-how-split-bills","status":"publish","type":"post","link":"https:\/\/www.mdmproofing.com\/iym\/weblog\/2007\/01\/suze-orman-how-split-bills\/","title":{"rendered":"Suze Orman: How to Split the Bills"},"content":{"rendered":"<p><i>&#8220;How should we split the bills?&#8221;<\/i><\/p>\n<p>Suze says (on the <i>Suze Orman Show<\/i> which aired 2007\/01\/13) this is the most common question she gets from couples. (I&#8217;d have thought she&#8217;d hear &#8220;Should we have separate accounts, or joint?&#8221; more, but what do I know.)<\/p>\n<p>For most folks, the default answer to the bill-splitting quandary is 50\/50. But Suze suggests that it&#8217;s almost never this easy (no kidding!). And that for couples where the two spouses earn significantly different amounts (which would be most couples, probably), splitting the bills 50\/50 will almost always lead to resentment and frustration. <\/p>\n<p>Here&#8217;s the fictional household setup that Suze presented as an example:<\/p>\n<p>Partner #1 makes $7k\/month.<br \/>Partner #2 makes $3k\/month.<br \/>Household expenses total $3k\/month.<\/p>\n<p>In the case above, Suze would suggest that the bills be split 70\/30, rather than 50\/50. This way, each partner\/spouse is responsible for an equal <i>percentage<\/i> of the bills rather than an equal <i>dollar amount<\/i>. They don&#8217;t earn equal dollar amounts, so they shouldn&#8217;t pay equal dollar amounts. <\/p>\n<p>After all, paying $1,500 worth of bills (a 50\/50 split) drains the $3k earner a lot more, percentage-wise, than it does the $7k earner.<\/p>\n<p><center><img decoding=\"async\" src=\"https:\/\/www.mdmproofing.com\/iym\/weblog\/graphics\/suzesplit.gif\" \/><\/center><\/p>\n<p>My first thought, of course, is that there are roughly four couples out there making $10k per month and spending only $3k\/month, so the example is kind of flimsy in that regard. Numbers like that just ain&#8217;t happening for Joe and Jane Sixpack. Still, I recognize that it&#8217;s the math that matters.<\/p>\n<p>I&#8217;m all for fairness in relationships and finances, and Suze&#8217;s idea makes sense to me: Pay the bills in the same percentage that the household income is split. Still, I can already hear the uproar from the &#8220;But we&#8217;re married, and we&#8217;re ONE now!&#8221; crowd. &#8220;What&#8217;s hers is mine, and what&#8217;s mine is hers! The only percentage that matters is the one we&#8217;re paying on our Discover card!&#8221;<\/p>\n<p>And they have a valid case. Really, I think Suze&#8217;s point was meant more for non-married couples, but she wasn&#8217;t really clear on this. My advice, in any case, would be this:<\/p>\n<p>Just do what works.<\/p>\n<p>And if what you&#8217;re doing isn&#8217;t working, change it.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;How should we split the bills?&#8221; Suze says (on the Suze Orman Show which aired 2007\/01\/13) this is the most common question she gets from couples. (I&#8217;d have thought she&#8217;d hear &#8220;Should we have separate accounts, or joint?&#8221; more, but what do I know.) For most folks, the default answer to the bill-splitting quandary is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[65,20,21],"tags":[8,9,15],"class_list":["post-368","post","type-post","status-publish","format-standard","hentry","category-budgeting","category-gurus","category-suze","tag-budgeting","tag-spending","tag-suze-orman"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Suze Orman: How to Split Bills<\/title>\n<meta name=\"description\" content=\"How should bills be split in a household? 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