Examining the Relationship between Financial Issues and Divorce

Using longitudinal data from the National Survey of Families and Households and both wife- and husband-reported data (N = 4,574 couples), this study examined how financial well-being, financial disagreements, and perceptions of financial inequity were associated with the likelihood of divorce. When financial disagreements were in the model, financial well-being was not associated with divorce. Both wives' and husbands' financial disagreements were the strongest disagreement types to predict divorce. Mediators derived from systems theory (conflict tactics) and social exchange theory (marital satisfaction) fully mediated the association between financial disagreement and the hazard of divorce. Finally, financial disagreements fully mediated the association between perceptions of financial inequity and divorce. These findings suggest that financial disagreements are stronger predictors of divorce relative to other common marital disagreements. They further suggest that financial disagreements (e.g., "content") are associated with marital process. (Contains 4 tables.)