Money management is easy when you have a partner, and it’s better when the partner is your life partner. Both of you can share the expenses, pay off debt faster, and do savings. But some couples find it difficult as their expenses arise and they go under lots of debt. To help out those couples, we have some money management tips for married couples. If you follow my tips, I hope money management will become easier for you. To know more about my money management tips, scroll down and run with me.
Seven Money Management Tips for Married Couples
There are various pieces of advice we can give to married couples to do money management. But how many of us can give the right money management tips that actually work? After being married responsibilities increase so the spendings also.
So a money management plan becomes essential for married couples. To help you make the proper money management, I have seven money management tips for married couples. What are those? Read below.
1. Know Each Other Financial Status
After marriage, the first step regarding money will be knowing each other’s financial status. I am not about asking each other about earning amounts and putting pressure to spend each partner’s earnings on the family.
I talked about letting your partner know about your earning and debt and telling him about your earning and debt if you have one. How many credit cards you use, how many investments you have, etc, will help the other partner not think or be curious about your financial status and think that you contribute less than him or have some hidden debt or investment that you don’t want to share with him. As you share your life, I don’t think you will have any problem sharing your financial life.
2. Set Financial Goals Together
After knowing about each other financial status now, you should talk about your financial goals. Every person is different and their dream, so it’s necessary to set some financial goals together where both of your goals will meet at the end. Decide how both of you will contribute to manage the family. Will, it is the same amount that both of you will pay, or will your partner contribute more than you.
If your partner has more earning and doesn’t have any debt, and you have fewer earnings with some debt, both of you can plan together how much to spend where. Remember, as you are both partners now so you should be a partner in spendings also. You can count the total amount of money you earn, save differently for you and spend the rest of the money to pay the rent, buy groceries, and other expenses. 10 Easy Ways to Make Money from Freelancing
If you wish also to go for a vacation, let your partner know about it and save a little for that from the money you earn by doing extra working hours or interest from some investment.
3. Plan Your Budget
Budget is another essential thing that you need to manage your family finances. As now you are married, you will enjoy your married life, go to a movie frequently, visit restaurants to enjoy a good meal, and take a break.
So the earning will be a little less, and the spending will be a little more. But don’t worry, you can manage your money through budgeting. You can plan your budget, put all your needs in the expenses list, make sure you don’t think about only your needs; your partners may have different choices, so keep in mind about him.
Now count the total spending money you have to pay. If both of you earn a good amount of money, it’s better to contribute equally. It will be a future seed that will protect both of you from allegations of contributing more to the family.
4. Avoid Debt
Now that your earnings aren’t enough to manage your expenses and have to take on debt, it’s time to follow the budget strictly. Keep the only necessary things on it and bind your wishes for a few days. Like you want to for a movie, but you can avoid it by watching Netflix at home with some popcorn.
Start preparing a meal for your partner and surprise him with his favorite meal. He will be delighted as you made it with your hand and will surely appreciate your effort. These options are not only making your life more enjoyable but also helping you in saving some money. So what would you like to do now? A budget or some debt?
As now you are married, the cost of living will increase. Because now you are two and will need everything in double. You can’t live with your roommate; you have to shift to a new home, will need furniture, more groceries, and so on. But despite all these expenses you have to save some savings.
You can’t spend your whole income on living your present lives. You have to think about your future and make some savings plans. Savings is simple when you two share responsibilities, and you should do that. Both the partners are committed to each other, so the spending should bear from the two sides also. Create a joint account and transfer your share of monthly expenses. This will help to keep track of how much you are spending on your family.
6. Property Agreement
You may feel awkward, but it’s necessary. Sometimes we got fed up with each other and ended our relationship. In that case, how will you split your assets and liability?
It’s no surprise that sometimes we just can’t go a step ahead, we face many problems, and have to deal with money problems. What percentage of assets have you contributed, and how much can you hold for the liabilities? It is a big question we face during a divorce case. So it’s better to make a contract and follow that.
Mention how many expenses you are bearing and what percentage of home loan you are paying, and how many accounts you have transferred on your joint account. This information will help in the future, in case you two go for a divorce. That time distributing the assets will be free of problems with evidence.
7. Emergency Fund
Emergency doesn’t come by telling us, so you have to be prepared for that. Apart from spending your living and making some savings, you should keep some money in the emergency fund. Both of you should do that.
It will help you in the future if you face any problem or need money for medical treatment; this fund will help you. Both partners should contribute to this emergency fund. You can keep your extra earning or put some interest of savings in this fund.
Have a money management plan, but that is not working. Your earnings are not enough to cover your spending. What can you do now? Create a money management plan with my shared money management tips for married couples. It will help you plan improved money management planning and help you make the proper use of money.