Financial planning tips for newlyweds that can help prevent fights about money and finances. Learn some tips to stay on the same page with your partner so you can live a happy life together!
This is a guest post by Amy Nickson. Amy Nickson is a web enthusiast. She is associated with ovlg.com where she shares her expertise through her crisp and well-researched articles on a regular basis.
The matrimonial phase is the most exciting phase of life. When you get married, you get the feeling of “love can conquer all.” But when the matter of money comes, fighting over it puts a huge strain on a relationship. Money issues are one of the responsible reasons for divorces.
Married couples should be open and honest with each other from the very beginning of their relationship. No magic tricks can be applied for a successful marriage, but a single miscommunication increases the chances of an unhealthy and unhappy life together.
So, after all the celebration parts are over, sit and discuss how to manage money with each other. I also highly recommend also implementing Dave Ramsey’s 7 baby steps into your financial plan..
Here are some money-saving tips that you can follow for a good financial and marital life.
Trust, understand, and respect each other’s financial habits
Knowledge of interests and habits towards money helps the couple in understanding the money habits of each other very well.
A good relationship doesn’t need promises, terms, and conditions. It just needs trust and being loyal to one another. Trust takes years to build, seconds to break, and forever to repair. It is fostered by consistent and open communication.
You may get to know very easily about the visible things. Mannerism, likings are easily detectable. But gathering knowledge about the partner’s financial background is pretty awkward.
By knowing about the childhood of the partner, you can somehow predict the financial background of the family. Experts say that if you understand your partner’s past financial habits, it can help you achieve your goals in the future.
Keep talking about money in your conversation
Talking about money can be stressful, but it is important to share financial matters with your partner regularly. Make sure that you and your partner are aligned on financial priorities.
Money should be an ongoing topic in your relationship. Plan for the discussion at least once a month. Utilize this time in making a financially fit family.
Disclose each other’s income, expenses, and debt, and then plan for achieving your goals accordingly.
Combine everything along with a bank account
A happy married life is based on thinking that whatever I had is ours now. Knowing each other’s interests, spending habits, and attitude towards money works well for a lifetime.
If you are a shopaholic, then a joint account will help you in controlling your spending habits. It needs the approval of the other person on cash withdrawals with this no-one purchasing anything without the consent of the other strategy.
It is not necessary to maintain a joint account only. You can opt for an individual account too. The joint account doesn’t mean both the partners have to deposit funds into that account.
If one isn’t able to deposit funds for any reason, the other person shouldn’t object. However, it is better to talk over the matter before you make a change in cash inflow.
Actively track your budgets and savings
Budgeting is important to assess your income and expenses. If you do not plan a budget, you will not be able to notice where your money will go, and in the end, you will be left empty-handed.
Marriage is a great opportunity to create a budget together as all your income and expenses are combined. Give a few months to yourself in building and practicing a joint budget, then track your spending and refine your budget.
If you have a good budget, you’ll be able to save a substantial amount, and thus you can have a better financial future.
Accumulate funds for an emergency
You may experience many ups and downs in your matrimonial days. The downfall makes you realize how important saving is.
To tackle a financial emergency, set aside money, i.e., maintain an emergency fund for the situation. Try to have about 3 to 6 months’ worth of expenses in an emergency fund that is easily accessible.
That money will cover-up in the situation when unexpected expenses arise or if you lose your job. It will help to avoid too much financial stress at that moment. You should have cash at hand when you require it the most.
Pay past accumulated debts at first
Just think if you have to pay for things that have not been borne by you!
Apart from straining your relationship, it will negatively affect your credit report if any of the partners have an unpaid debt. Since you got married, you have joint financial responsibility.
If any of you have debt, especially high-interest debt like a payday loan, get payday loan debt assistance, minimize the interest rate, and become debt-free within a definite time.
Build a fund for enjoyment
Discussing one topic bothers anyone. Similarly, if there is a conversation between the couple about money at all times, then the trouble increases even more.
It can drain you and your partner emotionally. This is the reason why couples get stressed and argue about money matters. A balance between money and love should be maintained.
For this, you should keep aside some funds for your fun. Spending time together without any stress keeps you happy. A simple cozy talk and silly stuff can make strong bonding and understanding.
Never forget to appreciate each other even for little things.
Keep recording the list of financial goals
Successful couples have a list of goals that they try to achieve for their future. They need to adopt a few financial habits in their life. A close discussion is required for achieving those goals because both the partners have to work on achieving goals for a long time.
Owning a dream home, savings for kids, retirement savings, are the foremost important goals for every couple. It’s important to jot down the matter for each spouse and compare lists so that they can figure out their top priorities and plan accordingly.
Consider changing health insurance plans
When you get married, you have the option of updating the health insurance plan you purchased from the insurance marketplace or your employer. Married couples can often use family insurance plans so that they are both covered under the same insurance policy.
Depending on the policies that you both use, you might be able to save money by signing up for a family plan instead of staying on two individual plans.
Marriage is a wonderful journey of a lifetime. It is wonderful to have a partner who unconditionally loves you and makes you feel that there will always be someone you can rely on. Marriage does not magically work on its own as it requires teamwork, patience, and love.
Don’t settle for surviving together, build something worthwhile. Build a life together and make it financially strong. Make a promise to each other that I’d love to walk with you forever.