It doesn’t matter if you’ve lived with your partner for years or only dated for a few weeks prior –– marriage will change the nature of your relationship. While there are many great aspects to marriage, managing finances together on a tight budget can become a major pain point for otherwise happy couples. With that in mind, today we’ll focus on a few financial tips that can help newlyweds adjust to a new lifestyle and make savvy budgeting choices at the same time:
Talk About Money
The first step to ensuring you and your partner have a sound financial game plan is to talk about it. That may sound simple on paper, but in reality, discussing money in the flesh is often a much trickier prospect. Don’t assume you and your partner are on the same page when it comes to your monthly budget. Couples need to set time aside to form a sensible financial strategy that works for their situation; otherwise, they could find themselves in dire straits sooner rather than later.
It’s understandable that newlyweds have a lot of places they want to go and attractions they want to see together. But the reality is, most people can’t afford to go away on dozens of romantic weekend trips per year. Though it may prove difficult at first, new married couples need to pick and choose when to spend and when to scrimp.
Map Out the Future
Ideally, married couples should have discussed their hopes, dreams, and long-term plans with each other before they decided to tie the knot. Still, it’s critical for newlyweds to figure out where and how they want to spend the rest of their lives together. Determine how much money you need to set aside for a new home, a new car(s), and definitely have a conversation about whether or not you want to have children. There’s no way around it: kids are expensive!
Make Smart Investments
Yes, it’s always beneficial for married couples to invest in a few stocks that can produce returns consistently. But even if you don’t play the market, young couples should still make smart investments in their own future. Starting a retirement fund, for instance, is one great way to plan for the future. What’s more, resist the temptation to cut out essential expenditures like vital insurance programs. Note, forgoing insurance is a dangerous practice and could end up contributing to major financial problems down the road.
Instead of cutting back on insurance, you may want to consider industry specific options such as disability insurance for doctors, or health insurance for teachers –– depending on your occupation of course. The point is, some expenses are so integral that you shouldn’t risk eliminating them. It may be hard to form a working budget early on in your marriage, but with a little patience and teamwork, odds are you’ll find a winning solution soon enough!