Some folks seem to think that finances get more complicated when individuals become a couple. Well actually, that may not always be the case. In fact, it can actually be the other way around. Budgeting together may actually be easier and less cumbersome, especially if you follow these tips!
If you are in a relationship now and want to improve your financial literacy with your partner or are just preparing for when your dream gal or guy comes around, keep on reading to learn about 5 tips for budgeting together, as a couple.
1. Communication is Key
Communication is vital is practically every facet of a committed relationship. This much is also true when it comes to money and budgeting. Talk about things like:
- Your salary
- Saving goals
Talking about finances can be an awkwardly private thing. But it doesn’t have to be, especially with your partner. The open and honest you can be about money matters with your partner, the better.
2. Understand Your Individual Money Financial Style
Everyone is different when it comes to how they understand, spend, and save money. The decisions people make as adults regarding their money are largely affected by their upbringing. So, understanding the foundation of your partners financial upbringing is important (and interesting).
Maybe they were raised to be more frugal than you. Or perhaps more free spirited with their money. Whatever the case may be, knowing what their current money style is, and how it meshes with your own allows for more budgeting success as a couple.
3. Determine Your Needs as a Couple
We each have our list of individual necessities when it comes to life. It could be the type of food we like to eat, the activities we enjoy and the type of lifestyle we practice. In a couple, you have to begin to assess the shared needs as well, especially once you begin to live together.
Considering items rent, utilities, transportation and debt can help to determine the size of budget you need to live the life you need as a couple.
4. Talk About Your Individual Wants
You may think you have a lot in common with your partner, but everyone wants different things. Despite being individual in nature, like gym memberships, hobbies, and home improvements, with a shared budget, individual desires become shared.
There needs to be give and take, or compromise, when it comes to what the individual wants and how it affects not only the shared budget, but also the other person in the relationship.
5. Outline Your Shared Financial Goals
The goals we have for our futures are directly connected to our finances. Talking about each other’s goals, as they relate to finances and life in general, will help you get a better idea for how to budget as a couple. You may check these money apps to achieve your financial goals.
Ask questions like:
- What does retirement look like?
- Are children part of your future?
- What travel plans or dream vacations do you have?
- Would you like to buy a house?
With answers to questions like these, and by taking a few other tips to heart, you will begin to flesh out differences and commonalities that can help prepare your budget together moving forward.
Related Reading: 8 Healthy Financial Habits You Should Start Today