Dealing with family finances is not always as easy as one may think. Think about it for a second and one will realize that without good communication and trust, the bank account can be drained and credit cards can be maxed with no idea where all the money is gone. While communication plays a key role in maintaining good financial records and history, there are other reasons for a couple to get into debt. Denying that one is probably living beyond your means is another common cause of increased debt and possible bankruptcy. The denial that could have financial problems that have to try to take control of another reason, and disorganization. Many would like to think that they are organized, but sometimes it can be confusing when trying to find a way to keep track of your finances. Married couples, especially, may have difficulties in managing their money, as there are more than one person uses the proceeds to different things.
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It is important to note that ignore or deny the financial problems will not disappear, but rather financial difficulties sooner rather than later will increase the likelihood that an easier path back to a more stable financial life, and help reduce tensions that could lead to marriage breakdown.
1. Have Fanincial related Discucussions
Psychologists say that many people will talk about anything, even sex, before going to talk about your finances. Why is it so hard for us to talk about money? Perhaps because money symbolizes different things to different people: power, control, security, or love, for example.
It is estimated that money issues are the driving force in 90% of divorces, but you can live happily ever after, financially speaking, if you work on not letting financial issues come between you and your partner. [ How to Fix the Relationship in Married Life]
2. Write Down Your Goals
After you have determined your basic financial statement, discuss your long-term financial goals in depth. For example, are you going to retire at a certain age? Want to get out of debt and become a millionaire?
You must agree to the goals that included sticking to a budget every month and become a one-income family, so that thw woman could be a mother and housewife. Be sure to write all your goals and periodically review. You have a better chance of success if you do.
3. To Or Not To Share?
Now even that hopeless romantics will have to admit that the exchange of money is one of the most difficult aspects of any relationship, [ Common Problems in a Love Relationship]. Requires equal degree of communication, trust, commitment and personal responsibility. So, before tying the knot, one of the first big decisions that any partner will make is how to manage household finances. Basically, this decision comes down to one of the three main options:
- Joint accounts.
- Separate accounts.
- Some combination of both.
4. Joint Accounts
One of the biggest advantages of a joint account is the simplicity it brings to managing your household finances. Bee and I have used a joint checking account since we got married. We pay all our bills the same account, because we have agreed that each bill belongs to the family - no matter who produced it.
Pros and Cons of Joint AccountsPros. A great benefit of this philosophy is that it requires the couple to work together as a team in managing household finances. As an added bonus, adds a critical billing system and balance that encourages husbands to think twice before making unplanned or impulsive expenditures without first talking to your partner. This makes it much harder for one spouse to become financially irresponsible and without the other's knowledge.
Cons. Well, it is certainly more difficult to surprise your partner with gifts for birthdays or holidays, but I found a way around that minor inconvenience. I simply say to the bee to avoid looking at the credit card until he opens his gift.
5. Give A Little To Get A Little
Offer your own feelings about a financial problem and can you encourage your partner to do the same. If your relationship is the first priority, you both have to be willing to negotiate. Share your feelings, experiences and hopes for the money. Discuss how your parents about money, which means that when you were growing up, and how to deal with it in past relationships. [ Love Your Partner in a Big Way]
6. Share Responsibilities
Money management in a marriage is not about having a quick discussion with others and then a person carrying the ball for the couple. It is that both sides work together and share responsibilities equally. For example, the husband and wife should participate in decision-making, budget and paying bills
7. Work as a Team
On the other hand, I have seen this happen, if the responsibilities are not divided and something happens to your spouse "finance", the other spouse may be disoriented. Bills may go unpaid debt can accumulate, and what was once a solid financial position may deteriorate rapidly. In order to safeguard the welfare of you and your spouse, make sure everyone is aware of your complete financial situation and is responsible for managing a part of it.
To function properly as a team, you must have the same goals in mind. Working together to reach out and find ways to achieve those goals. Always encourage one another and build each other. Be aware of your own strengths and weaknesses, and play off the strengths of her husband to bring synergy to what you are trying to accomplish.
8. Be Honest And Trusting Your Partner
Honesty is always the best policy, especially when it comes to handling money in a marriage. If you mess up, or make a purchase you should not have, spouse and own up to his mistake. Your spouse may be angry with you at first, but after he or she cools respects you and trusts you because you were open and honest. Lying on the money that your spouse has enormous repercussions, including divorce, so do not ever go there if you want your marriage for life.
Unless your spouse is determined to actually lie to you, trust your new spouse handle money. Responsibilities retaining their spouse or watching every move he or she makes is condescending and demeaning. Do not ask how much money did your spouse or made during the day. Learn to let go of control and just trust. Combining bank accounts is a great way to practice this.
9. Accept Your And Your Partner's Imperfections
Some people want to specify all the details before making any decisions about money. But delays perfectionism financial success. Emphasize Action: Do not wait until you are completely educated in finance to start saving, or never start. Start saving now, then start a program of investment funds.
Financial decision making creates the possibility of errors, it is true. But fortunately, in most financial situations, there is a wide range of correct decision and only a narrow range of choices that are definitely wrong.
