Couples and Marriage
Financial planning for two
Planning your future with someone else can be a monumental step in any person’s life emotionally, but also financially. Not only do most people rely on savings to help finance the wedding itself, but what happens after the wedding? Many couples can get started on the right foot by assessing their current situation and then setting up a financial plan. Here are some questions to help you get that initial discussion started:
- Will you buy a home or rent?
- Do you have children to plan for? Do you want them to attend college?
- Will you both continue to work? How much combined income will you be earning?
- Who will manage your finances?
- At what age do you want to retire?
- Do you have a savings plan or an emergency fund in case one of you loses their job or becomes ill?
- What are your savings goals?
- Share your numbers. Share your credit report, paycheck, investments, etc.
After you have assessed your current situation, start planning. Establish a workable budget by balancing your spending and saving within the constraints of your income level. Make sure to include borrowing and the use of credit. Set tangible goals for savings. Consider the use of automatic savings programs to help you accomplish your goals. Take advantage of company-sponsored retirement plans and save a little bit with every paycheck