Developing Your Plan
If you are marrying for the first time or remarrying, developing your financial plan
for the future can be exciting when done together. Knowing your financial
expectations and sharing them with your future spouse is an important first step.
Talk about your finances.
- Couples should observe each other’s money habits and talk honestly and
openly about money attitudes and expectations.
- Each person should understand how their partner handles money — ask your spouse
about their financial upbringing — which has been influenced by their parents’ attitudes
about money and whether they grew up rich, poor or middle class.
- Evaluate spending priorities — agree where your money will go. Come up with an
equitable plan that takes both person’s priorities into account.
- Discuss the type of lifestyle you will lead and your financial goals:
- Buying a house — discuss down payment and loan options.
- Preparing for children — when to start a college savings fund.
- Investing for retirement — talk about how comfortable you are assuming
risk with your investments.
- Paying on existing debt and opening new credit accounts.
- Establishing ground rules for purchase of big-ticket items — dollar amount and timing.
- Do not keep secrets.
- Assess your individual financial skills and decide how you will divide the money management
tasks; such as paying bills, preparing tax returns and making investment decisions.
Compromise — learning how to make joint decisions.
- As you talk with each other, you will begin to understand why your views may differ from your spouse’s views.
- Consider the deeper, emotional issues that direct behavior without judging or criticizing.
- This financial understanding of each other is the basis for compromises you will need
to make about money management.
- Establish financial goals — decide when you want to achieve financial
independence — determine where you want to be in 10, 20 or 30 years.
- You should consult your attorney, financial planning professional, tax accountant or
other professionals when you make legal and financial decisions.
- Specific state laws and your unique circumstances will determine how you use the information contained in this article.
See the forms in the Helpful Forms & Lists
box at the top of this page for more information.
Topics covered in this section are: |
Basic Money Management
Basic Money Management