A Couple of Finance
Money-related issues have often been quoted as one of the reason of divorce, and more often than not such issues cause deeper conflicts and be a stressor event. Having different attitudes, priorities and management towards money definitely could be a starting point of agitation and causes friction in your relationship.
Money is often perceived as a touchy subject that couples avoid discussing when in a relationship for fear of being too materialistic or just being afraid of commitment and let-down that they are not as good as others. Being in a committed relationship is an ongoing work in progress, so it makes no cents when couples refuse to have the talk. I personally think a couple can start as early as being a few months into a relationship, so long as both of them are comfortable and can see themselves together in discussing their financial plans. It certainly does not have to wait until being married or settled down.
Honesty is vital for a healthy relationship and this includes being honest about your debt levels with your partner. There is no shame in disclosing your previous debts to your partner. By being honest to your partner about your current debt level and desired debt level in future (not all debts are necessarily bad), both you and your partner will be more aware and can better plan the cash flow of the relationship. Being dishonest about your own spending habits or keeping hidden secrets will only lead to a deeper problem and potentially destroys the trust that holds a couple together.
Now that we are honest with our partner, the next step is to communicate the financial priorities you want in the relationship. Each of us are unique to our own and it is no exception that we will have our own personal preferences, but it is also important to build financial goals together with your partner. Some people prefer living on a month-to-month billing cycle, while some dream of saving up and investing. There is no right or wrong in either, but both in a relationship should know where a couple stands financially in order to establish common financial goals.
A couple might not always agree on each other’s spending choices, but failing to understand and accept will definitely be a major barrier in the relationship. There are many reasons to save, for example it could be for a travel plan, building a family, your next home, investments or for retirement. There are also reasons to save for a new car, spending on your favourite hobby, the latest electronic gadgets or revamping your wardrobe. Understanding the importance of personal spending priorities can help a couple achieve the concept of individual spending freedom, without having to sacrifice the joint financial goals.
