(The following is a guest post)
Merging finances can be difficult for newlyweds. Between linking accounts, managing credit and making new purchases, it can be a challenge to marry your finances. There are a few tips that will make the transition easier and allow you to enjoy a healthy money relationship with your new spouse.
Have a Discussion About Expectations
Everyone has their own ideas about how money should be spent and managed. If one of you is a saver and the other is a spender, there can be problems down the line. Have a frank discussion about your goals in terms of investing, saving and spending. Discuss any debts that have to be paid off and map out your financial future. This will cut back on any conflict regarding the family finances.
Develop a System
It doesn’t matter whether you choose to pay all the bills at once or as they come in. As long as you are on the same page, you can choose whatever method works best for you. It is often advantageous to delegate financial tasks like writing checks or managing accounts to one partner. This way you can avoid conflicts over preferred styles of money management.
Manage Large Purchases Together
If you are planning to make a large purchase such as a house or car, discuss this with your partner and come to an agreement on what you will spend. Decide on a threshold amount that you won’t go over without consulting your spouse. The amount can be $100 or $1,000, the only thing that matters is that you are in agreement. A car loan payment calculator can give you a clear picture of what you will spend for your next car. Mortgage calculators will help you to plan your budget for housing.
Work Out Problems Before They Snowball
Don’t let problems with finances snowball out of control. Tackle any debt issues head on and don’t let them derail your relationship. Have a monthly budget meeting with your spouse to keep track of your financial health. While it may not seem romantic to have budget meetings with your spouse, managing your money will allow you to spend more time together without bickering about family finances.
Managing money as a new couple can be a real eye-opener. Many couples never have discussions about money until they marry, which can make it challenging to tackle. Resolve money issues with your spouse and work as a team to enjoy financial health.
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I think the earlier you discuss money with your spouse, the less money problems you will have in the future.