Personal finance for some of us is a challenging task. Imagine adding another person to share these finances with. With as complicated as money can be it is no surprise that it is the root of many problems in relationships.
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It is for this reason that it is always a good idea to make sure you are on the same page with your significant other before you make the commitment to share your personal finances. Determining where each party stands can save a lot of frustration and potential heartache.
Get your finances out in the open
It is important in any budgeting process to determine where you are spending all of your money. This is not just inclusive of big purchases.
It is actually the case a lot of times that the majority of your spending is derived from a series of smaller, more frequent, purchases. After you have laid out all of your bills and reviewed your spending, you can hopefully grasp a clear picture of where your spending falls.
This is a great time to determine areas that spending may be duplicated in in order to recognize opportunities for saving.
What are your goals as a couple?
Alongside your own goals that you may have, you should also have goals as a couple. This includes both short and long term goals and can even be things such as planning a vacation. Once you have all of your goals out on the table, you can begin to assign priority to them.
There is no better way to reach your goals than to have them written out and posted somewhere visible. To take it one step further, holding your better half accountable for their goals is extra motivation for accomplishing them.
Consider a joint bank account
If you have reached the point in your relationship where you are sharing your finances and personal goals with eac hother, you may be at the point of also sharing bank accounts. In addition to sharing bank accounts, there are countless other places where you can consolidate spending in order to save money.
Establish your budget
Without a solid budget, it is difficult for anyone to reach their financial goals. After you have laid out all of your expenses, it is good practice to determine where you can cut spending.
A joint budget is a good way to determine where you can consolidate expenses, and what needs to be done in order to meet your goals. Without a budget, it is easy to lose track of what your goals are and steer away from what is ultimately important to you and your significant other.
As is the case in any relationship, being honest and open with your significant other is the most important thing. Keeping secrets, or not communicating about your finances is the quickest way to build resentment or bad feelings in a relationship. Even if you don’t think it’s important, make it a point to share everything that concerns you and your significant other financially.