Do you at times feel like her money is hers alone, while your money is everybody’s money? Do you want to know how to manage money as a couple? Do you ever feel like your husband spends too much money on unnecessary things? For most couples, the above scenarios make a significant part of their life. Fights about money issues are very common in marriages, even leading to families’ breaking up. Susan Washburn (www.wash-mcg.com), a well-known writer, says: “Conflicts over monetary matters are often vehicles for expressing other tensions in relationships.”
However, remember that you and your partner are one. Therefore, you should always be united in all matters, including money issues. It would be best if you learned how to manage money. Marriage is not all about which money is yours. As a team, carefully plan your budget and calmly discuss the money ahead of time by focusing on the essentials first.
This article discusses nine tips on How to Manage Money as a Couple. Read on!
Table of content
- Set a Plan
- Be Honest with your Spouse
- Discuss Money Issues Calmly
- Manage Debts Together
- Write Down Your Plans
- Agree on How Responsibilities will be Shared
- Talk About Your Lifestyle Goals
- Set Clear Boundaries
- Open a Joint Account
1. Set a Plan
Everybody knows the saying that ‘before you can build a tower, first sit down and count the costs.’ What does this mean? Before you and your partner can spend money, it’s essential that you first set a plan. Sit with your partner, then plan together fearlessly and confess how you are feeling. Money shortages trigger deep insecurities in us. Talking about them beforehand can be useful by diminishing our fears.
2. Be Honest with your Spouse
Both of you need to be open and honest about your earnings. Tim Berry (www.timberry.com), the founder and manager of Palo Alto Software, comments that “…if you’re completely open with your partner, there is less risk of resentment when things get rough.” So, being open with each other about your financial status can help you avoid any money-related fights and arguments common in marriage.
3. Discuss Money Issues Calmly
And, when you set a particular day or time to discuss money, adhere to this. Talk openly and calmly. Ensure that both of you are relaxed and listen attentively when your partner explains their opinions. Also, try to keep your discussions as brief as possible. When you include regular talks about money in your marriage routine, you will reduce the number of times you argue about money-related issues.
4. Manage Debts Together
One research study done by Fidelity Investments showed that marriage partners who carried debts had more arguments (67%) than marriage partners who brought no debt ….. what if you already have debts in your marriage?
5. Write Down Your Plans
When you see your financial situation in this manner, it will act as an eye-opener, ensuring that you always manage money wisely as a couple. More so, writing down your budget and plans on paper will help you lessen any arguments that could arise from the misuse of funds. After all, there can’t be any arguments with facts.
The book ‘Budgeting’, written by Denise Chambers clearly explains how family budgets should be created. As Denise points out, “all family members should be included in drawing up the plan so that all have a commit the family budget.” If your family comprises just you and your spouse, you need to write down the budget together. Then, regularly, meet to discuss how your set budget is working out. Drawing a family budget together will help you manage your money wisely, living within your means.
6. Agree on How Responsibilities will be Shared
In some cultures and traditions, it is the man’s responsibility to care and provide for the family. In other cultures, the burden of caring for family responsibilities falls on the wife. However, the best way to manage money as a couple is to share responsibilities.
7. Talk About Your Lifestyle Goals
Catherine E. Aponte (www.apontepsyd.com), the author of the bestselling book ‘A Marriage of Equals: How to Achieve Balance in a Committed Relationship,’ mentions that “it’s a good idea to have an agreed-upon understanding of what it means to compromise about important issues.” When it comes to lifestyle goals, both you and your spouse should be willing to compromise on some things. For instance, you don’t have to insist on getting a new wardrobe if doing so will put a financial strain on your marriage.
So, talk about your lifestyle goals, whether short-term or long-term. Talk about plans that involve making large purchases and discuss how you can save towards achieving those goals. As you save and meet these goals together, you will develop better managing skills as a couple.
8. Set Clear Boundaries
Also, agree on how much independence each person will have. How much money can one spend without consulting the other? For instance, you could decide that each person can spend up to $20 or $200 without consulting the other person. Having such clear set boundaries will help you manage your money well as a couple and minimize wastage.
9. Open a Joint Account
Consider having a joint bank account as a couple. Agree on how much each of you will contribute every month. Some of the money you save in your joint account can be used to cater for several home bills and expenses. After a while, evaluate your progress to see how having a joint statement works out for you.
If everything is going well, you can start contributing more to the household and family. Opening a joint statement as a couple can safeguard both of you from using up all household savings!
Conclusion
First, be honest with your spouse. Inform them of any debts you might have and discuss how you can solve the debts. Also, set your plan and budget, prioritizing the most critical expenses in the family. Write your goals down on paper. More so, mutually agree on the kind of lifestyle you will lead and how you will share your family’s responsibilities.
When you follow the above nine discussed tips on managing money as a couple, you will never experience money-related issues that stifle your love. You and your partner are a team, so work as a team even when it comes to money issues. After all, your marriage is worth more than all the money you can make.
Those are but a few tips that can help you manage money as a couple. Have you found any other practical tips that can help couples manage their money wisely? Please let me know in your comments below.
2 thoughts on “How to Manage Money as a Couple (9 Pro Tips)”
This is an eye opener tips. I am going to put the tips to practice. Ever since I have reading from here, my marriage is now settled. Thank you so much author for this.
Thank you very much EdosEnehizena. I am glad that you found it helpful