Money Management in a serious relationship can be very difficult at times. You need to manage your joint financial affairs in a way so that you can avoid arguments and disagreements over financial issues.
It might be the case that a couple is in deep love having so many things in common, but there is a vast difference that one is a spender and the other is a saver.
The confrontations regarding money matters are at times awful causing shock. Though none wants the fighting, but it becomes inevitable.
Ways to tackle money matter in a married relation:
There are some ways by which one can deal with the money matters without getting into any controversy.
- Maintain separate accounts – If you do not have any joint account, you can maintain separate accounts. If you share any loan such as home loan or a car loan, you have to divide it. If you want to manage money separately you should plan everything and communicate regularly, and in that way you will come to know which amount is coming in and which amount is going out. Divide the financial responsibilities and consider the condition of your partner when making those vital decisions. Be sure that you are not spending too much; else your partner will be compelled to compensate the difference. Both of you will have equal control over the money and at the same time will have some privacy too.
- Share everything – Share everything by keeping a joint account. You can amalgamate all your income into a single one and utilize it for all expenses from petty things to vital issues like loans and bills. This can make money management much easier, but you require a joint account for that to work well. In this way both of you will have equal control regarding the financial affairs though you will have no privacy and both of you can have a look at what the other is earning or spending.
- Granting the other partner an ‘allowance’ – If one of the partners is not earning for staying at home to look after the kids or for taking care of an elderly family member, the other earning partner should pay an allowance to him or her. The main earner should pay an amount every month to the other. Both should decide whether the amount paid is money for spending or for personal purposes only. Be sure you both are comfortable with the amount. The allowance should never be considered as a ‘favor’ done to the non-earning spouse. Decide which types of expenses are to be covered by the allowance.
- Be transparent – When you open a joint or a separate account, you are responsible for any debt or any crisis. So it is important to be transparent and not to conceal things from your partner.