Getting married is a thrilling milestone, and before the big day, you probably gather all the info you can about your partner’s financial status and goals. However, it’s after the wedding when you actually start implementing these plans while living together and managing your finances. If you’re still enjoying that newlywed bliss, here are five money matters you might want to chat about with your spouse once the honeymoon phase is over.
1. Decide Who Pays the Bills:
The important thing is that bills are paid on time, not necessarily who does it. By now, you should have an idea if you’ll be merging your finances, which helps in figuring out who handles the monthly bill payments. If one of you is better at managing money, they might take the lead. Or, if one has more free time after work, they could take on this task. My spouse and I use a joint approach, where we each are responsible for certain bills to keep things fair. Whatever your method, keep communication open to avoid late fees or misunderstandings.
2. Update Insurance Policies:
Marriage often means updating your existing insurance policies or canceling them if you’re combining healthcare plans. Make sure you have enough insurance for your home, cars, and consider naming your spouse as the beneficiary on your life insurance policy. It’s also a good idea to have a living will and a healthcare power of attorney. These are not fun tasks, but they are essential parts of financial organization for new couples.
3. Discuss Savings Plans:
With a bigger household post-marriage, you might want to boost your emergency fund or other savings accounts. Agree on a comfortable savings amount by considering your debts and how much you’d need if one of you lost your job, then set a timeline to reach your savings goals. If you’re saving for a large expense, decide how much to save each month and where to keep it.
4. Plan for Budget Overruns:
You probably have a monthly budget, but have you thought about what you’ll do if you overspend or face unexpected expenses? While saving more is great, some couples forget to decide when it’s okay to dip into those savings. It’s important to prepare for financial hiccups and understand how financial missteps could affect your relationship. Also, agree on what counts as an emergency.
5. Talk About Long-term Goals:
You’ve likely talked about your five-year plan before you got married, but it’s also important to discuss your longer-term dreams. Your future plans will involve money, so talk about career goals, income predictions, retirement plans, future kids’ education, vacations, or other priorities. Discussing these early will set realistic expectations and help avoid future money-related issues.
Remember to stay open-minded and be willing to compromise when talking about money. With patience and understanding, you’ll navigate this initial phase, appreciating that your spouse’s viewpoint is just as important.
So, have you tackled these financial topics with your spouse yet? Are there any other discussions you feel are important?