Have you and your spouse ever disagreed about money? You’re not alone. Shared finances can be tricky, and many couples run into a conflict or two.
While there is no single formula for sharing finances successfully, communication is essential in every partnership.
Not sure where to start? Discuss these four big financial topics to help keep you and your spouse on the same page.
Knowing how much money is coming in and going out each month can help couples steer clear of many misunderstandings and arguments. Sit down to discuss your joint income, how much money needs to be spent on bills, and how much of the leftover is earmarked for fun and for savings. It’s also important to determine if you are splitting expenses and savings equally or proportionally based on income.
Do you and your spouse have plans to upgrade your home, buy a vacation home or move? Talking about your property goals can help to guide budgeting decisions and give you something to unite behind.
How much of a financial cushion do you need to meet the comfort levels of both partners? Do you want to save for anything in particular? If you have kids, you’ll also want to decide how much to put away for their education and their futures.
How do you and your spouse want to handle investment accounts, like 401(k)s, in preparation for retirement? Also, be sure to discuss whether you will retire together or at different times and what spending will look like during retirement. For example, do you have similar visions for travel and activities during your retired time together?
It’s often helpful to get some objective third-party expertise. Reach out if you’d like assistance with managing your finances and planning for the future.