Handling Joint Assets and Debt (How to Split Them Among the Couple)

In this article:

  1. Select that the asset/debt is jointly owned when entering the details
  2. Enter a portion of the asset/debt for each spouse individually
1

Select that the asset/debt is jointly owned when entering the details

When you classify a real asset or debt as jointly owned, Snap Projections will automatically calculate 50% of the total that you enter, and allocate it evenly between the client and spouse.

To do this, select Yes under the Joint column for the asset or debt that you want to split.

Example 1: Joint ownership of a Home

Example 2: Joint Debts

Example 3: Joint Non-Registered Assets

2

Enter a portion of the asset/debt for each spouse individually

Enter a joint asset under a client and then click the Copy Asset green arrow icon. The asset will be copied to the spouse automatically. Use this for non-registered accounts that are shared between the client and spouse (ex. a joint savings account) and where the spouses have not contributed equally to this asset in the past.  Adjust the amount of the asset for each spouse, depending on the percentage "owned" by each spouse. The sum of the amount entered for each spouse is the total asset value.

For debts that are jointly owned in reality but have payments made by only one spouse, it may make the most sense to classify the joint as individually owned in the projections.  In an example scenario where one spouse has little to no income, the software will still expect that spouse to make equal debt payments. This may create a shortfall for that spouse, or cause a withdrawal from their Capital Assets to cover the payments. 

To summarize, the first method automatically does the math for you and allocates the assets/debt accordingly. The second method is primarily used for splitting assets or debts using a different percentage than 50/50.

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