Disagreements involving finances are the most common cause of relationships coming to an end. For those committed to the health of their long-term romantic relationships, coming up with practical ways to discuss and manage money needs to be a priority. Here are five useful tips for managing money in your relationship.
Discuss Money Issues Regularly
Clear communication is vital to every aspect of a relationship, and finances are no exception. Keeping money issues out in the open by discussing them frequently is a great idea. Set a regular time for money-related conversations that’s convenient for both you and your partner. For example, many couples see positive results from sitting down and talking over their finances on the same day every week. During these discussions, you can cover your current financial status, any unexpected expenses that have come up, ideas for improving your financial practices, and any concerns you might have.
Define Your Goals
It’s good to set specific financial goals you can share as a couple about managing money. Keep your goals realistic and actionable, yet still challenging enough to keep you engaged in the process of reaching them. Having things you’re both looking forward to financially, such as saving enough money to afford the vacation you’ve always been dreaming about, provides a long-term framework inside which to base all of your day-to-day financial decisions.
Plan for Retirement
Even when retirement is decades away, it’s still something to start planning for as soon as possible. Talk with your partner about what your ideal retirement would look like. From there, you can come up with a budget to make that vision a reality when the time comes. Due to the various technical aspects involved in financial planning, most people choose to enlist the help of an investment professional as they plan for retirement, though there are also countless resources available to help those who want to want to take a more hands-on approach.
Utilize Apps
There have been significant advancements in mobile financial planning technology in recent years. A wide range of mobile apps now offering financial guidance and tools for putting your hard-earned dollars where they’ll do the most good. Many couples see great results from utilizing coupon apps to save money, mobile banking features for easier account sharing and investment apps that allow them to track and update their investments anywhere, anytime.
Joint or Separate Bank Accounts?
There’s no right or wrong answer when it comes to having joint or separate bank accounts in a relationship. Some partners choose to have a bit more independence and autonomy in their finances by keeping things separated, while others prefer the organizational and legal advantages of a joint account. The most important thing is finding the solution that’s best for you and your partner when it comes to managing money. Regardless of your choice, just be sure it aligns with both your short and long-term financial goals as a couple.
These are just some of the most effective ways of managing money and handling financial issues with your partner. By having regular discussions about your money and accounts, utilizing helpful mobile apps, planning for retirement and setting financial goals, the way money is handled within your relationship will set you and your partner up for a bright future together.
Contact The Montfort Group in Plano today to see how we can help you with organizing finances in your relationship.
