One important key to money management in a relationship is to have both partners involved in the decisions and planning. It is essential that both partners be on the same page as far as long-term goals, savings, and spending are concerned. If you disagree on the goals, then the spending and saving habits will not coincide, and there will be disharmony in the relationship. One person in a relationship may handle the day to day finances, balance the checkbook and pay the bills. It is important that the other person be aware of the situation, and be informed of changes and decisions. Here are five steps that will help you begin to work together on the money.
1) Sit down together and discuss your future. It is important to talk about what you want retirement to be like. If you have not yet purchased a house you may want to discuss doing this in the future. You should also discuss what it means to each of you to feel comfortable about the way money is handled. This discussion can really help you understand each other.
2) Set specific financial goals that you would like to achieve. This can include retirement, having an emergency fund, getting out of debt, and purchasing a home. It is important that you create a strategy and a timeline so that you can realistically achieve these goals in a timely manner.
3) Next you will need to sit down and look at where you are currently spending money in order to see what you need to adjust to meet these goals. You may need to cut down on certain items, or you may find that you are doing all right. This will help to reinforce your plan and your goals.
4) You should meet on a regular basis to discuss how the budget is going, and where you are at in achieving the goals. You should sit down at least once a month. Some couples find that meeting weekly helps to limit overspending. You may also want to switch to cash in certain categories, if you are consistently overspending.
5) As you achieve your goals take some time to celebrate. This is a great opportunity to spend positive time together. Working together and achieving your goals will help to strengthen your relationship. It will also help you to achieve your dreams and goals.