The #MoneyMakeover competition is being run by City Press in partnership with financial services company Momentum. Over a year, six candidates are striving to save money and reach their financial goals. Each has been partnered with his or her own financia
Since Dipolelo has plans of starting his own business in the near future, it is recommended that the couple marries out of community of property with accrual. He wouldn’t want his business life to affect his family life. He also doesn’t want his wife’s potential debts to affect him and his creditworthiness. As a couple, they have entered into this discussion and agreed this is the route to follow. When they are done with all the wedding celebrations, they will see a lawyer to sign a contract before registration of their marriage with home affairs.
Marriage in community of property is the default marital regime. All assets of the spouses are joined into one community estate. Written consent of both spouses is required for certain important transactions like fixed property and credit agreements. Insolvency (or bad debt) of the one spouse affects the communal property. A customary marriage, if it is a first marriage, is regarded as being in community of property.
Marriage out of community of property without accrual means that each spouse has their separate estate.
Marriage out of community of property with accrual means that the wealth accrued/acquired during the marriage is shared equally at death or divorce. Each spouse has the right to deal with their own property during the marriage. It offers protection against insolvency during the marriage as each party retains control of their assets during the marriage. A disadvantage is that spouses do not share each other’s creditworthiness.
To be married out of community of property with or without accrual, you need to sign an antenuptial contract before getting married.
THE BIG DAY You don’t need to go into debt for your wedding if you plan properly. Inset: Momentum adviser Mashiase Okeke