Finance Tips for Married Couples
Getting married is a life changing event. One of the biggest changes that married couples have to deal with is their financial situation. Combining two incomes has its advantages, but there are also some pitfalls to avoid. While the best time to talk about personal finance is before marriage, it’s never too late to get on the same page and make the right financial decisions. Below are some of the most important finance tips for newlyweds, but any married couple — regardless of how long they have been together — can benefit from the information.
Don’t Hide Spending
The basis of any relationship is honesty. Honesty is especially important when it comes to money. Things like secret credit cards, overspending, or hidden accounts are never a good idea — especially if money is being withdrawn from the account that pays the bills each month. Honesty builds trust in the relationship, and being honest about how you spend money gives married couples a clear picture of their financial situation. If either partner wants “fun money” to spend on personal expenses, this should be discussed out in the open and budgeted for appropriately. On that note…
Discuss Your Financial Goals
You should know each other’s financial goals and reassess them regularly to see if you’re making progress. If one partner wants to save for a home while the other is a spendthrift, then these issues need to be dealt with as soon as possible. When it comes to budgeting, married couples should plan how much they want to save each month, how much money will go toward retirement, etc. By discussing each other’s financial goals there won’t be any surprises or misunderstandings about where the money is going.
Save for Retirement and Getting Older
Retirement is one of the last things that young people think about. Yet the sooner you start saving for retirement, the better off you will be when you are ready to retire. On a related note, many young couples don’t think about what they’ll do as they get older and maintaining health becomes more difficult. It’s important to save money for situations like retirement and health downturns. The last thing you want to worry about during your golden years is not having enough money to enjoy yourself and each other’s company.
Be Smart About Big Purchases
When it comes to making large purchases, married couples should engage in some reflection before draining their account. Do you really need a large home or an expensive new vehicle? Then once you do purchase a home how much remodeling is really necessary? Before making any big purchases you should always ask questions like these.
Originally published at johnjbowmanjraccountant.wordpress.com on May 25, 2017.