Any couple who’s told you that love is the only thing you need to get married, has obviously not considered the financial implications of their newly chosen life. Couples who plan ahead financially have more chances and able to face any hurdles that may come their way. If you or someone you know is planning to get married soon, here are important financial tips to remember:
Discuss Your Financial Background
Sit down with your partner and disclose everything in honesty. Tell them about your income, any assets/investments, and your outstanding debt. This is the time to come clean with each other. However, don’t make it seem like a lecture about whose financial management skills are better or who should shoulder most of the expenses. It is simply letting your partner know where you stand financially and vice versa.
Discuss Your Financial Goals
Different people have different goals. Some people can live comfortable lives with little money in their savings account while others desire to be millionaires. Discuss what type of person you are when it comes to money. From there, determine how you will construct and monitor household budget, investment approach, etc.
Pay off Debts
Couples are no exception when it comes to how consumers should approach debt. If you have outstanding credit card bills to pay, pay them as soon as possible. Debt that’s left unchecked will just grow over time. If you are not careful, a huge chunk of your honeymoon money could end up in credit card payments. Consult a financial adviser for guidance and debt management options including debt consolidation.Also you should consider purchasing the best personal finance software that will fit into your budget.
Joint or Individual Accounts
Although this is a highly personal matter to dive into, many financial experts recommend that couples should open up a joint account for combined savings, investment portfolios, and regular expenditures. Then, each person can open a separate checking account for discretionary expenses, such as a lunch out with gal pals or tickets to the Super Bowl. Some banking institutions allow couples to easily switch bank account. Make sure to ask your bank for details.
A lot of times, couples fight because of financial issues. It is common for couples to start bickering because of money problems rather than handling it like mature, rational adults. Try to remain cool during such stressful situations. Take a nap or get out of the house for a while to cool things down. Talk sensibly about your financial concerns once both your heads are cool.