Enjoy your wedlock by planning your finances way ahead of time
Posted by : Premraj | Posted on : Sunday, October 19, 2014
It is a universally acknowledged fact that marriage introduces new changes in a couple’s financial situation and these changes affect all aspects of your life together. Everything from credit card debt to personal financial goals will bring brand new challenges to your relationship every moment. In fact, this is often considered as the biggest challenge of marrying your spouse, by most married couples. Understanding how to navigate smoothly through these changes can be indeed tough but planning way ahead of time can allow you to build a strong financial foundation of your relationship.
Given the fact that most marriages end up due to monetary issues, it is needless to say that personal finances is rather an important part of your relationship. There have been endless reports of divorces that have occurred due to the soaring debt issues between couples. In fact, nowadays, girls don’t prefer getting hitched with guy with loads of credit card debt and with a poor credit score. Since your credit score is a three-digit number that speaks a lot about your personal financial health, girls usually check it before getting engaged. A guy with loads of debt burden is considered nothing more than a financial baggage.
Vital financial tips to follow to save your marital relation from getting screwed
If you don’t want the relation with your spouse to get screwed up soon after your wedding night, you have to take some wise steps beforehand. In order to build a strong financial foundation for your relationship, here are the few things that you can take into account.
Creating a frugal budget: Not only is it vital to decide how to allocate your money at the bank but at the same time you need to get serious about creating a family budget. As you’re getting married, this is needless to say that your new spouse will contribute new financial issues like debt, assets, bills and even savings to your household. Even though you had a budget for yourself in the past, the new pieces of the financial puzzle will definitely change the budget. Take time to sit down with your spouse and give a glance at the combined cash flow. How much are you able to save? Write down everything while formulating the budget.
Planning for unexpected expenses: Now that you’re no more single, you have to make some important decisions about estate planning and insurance. If both of you are working and you’re covered by a health plan through your respective employer, it is important to look at the plan that will be beneficial for you. Getting married is one of the life events that allow you to change your health insurance and hence you should use this time wisely. In addition to this, you also need to ask about life insurance. Prevent yourself from the devastating financial effects due to sudden loss of income.
Planning your retirement carefully: Among all the other steps, retirement planning becomes a vital part of your financial health. Once you have all your financial benefits squared away, you also need to take a close look at your beneficiaries on the existing retirement plans, IRAs, pensions or 401(k)s. As soon as you establish beneficiaries on all these accounts, you can be sure that your assets will be disbursed properly when you expire. Don’t forget to take advantage of the different retirement accounts that are there to help your tax situation. All your retirement plans come with tax breaks and hence you should make the most of them.Talk about everything: The final and the most important step to take is to talk about everything with your spouse. Many couples find it hard to discuss about money but this is indeed a foolish way of handling things. Not talking about money with your spouse can lead to problems down the road. For every little doubt, speak it out with your spouse.
Talk about everything: The final and the most important step to take is to talk about everything with your spouse. Many couples find it hard to discuss about money but this is indeed a foolish way of handling things. Not talking about money with your spouse can lead to problems down the road. For every little doubt, speak it out with your spouse.
Debt is something that can mar your retirement as well as your married life. No amount of running behind the debt consolidation companies for help will let you stay in peace. Hence, while getting married, take into account the above mentioned financial factors and work on them in order to enjoy your post-wedding life.
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