How to Manage Your Money as a Couple
Kendra and I have been a couple for five years now and living together for two of those years. Obviously, how we have been managing our money in the last two years have been crucial to the effectiveness of our household.
There are many approaches to managing your money as a couple, depending on how comfortable you are with your current situation as a couple, as well as your individual financial picture. Kendra and I chose to keep things separate for the most part. Our personal income all goes into our own accounts, and we transfer money to our joint savings and chequing accounts every month. On the first of the month we transfer all our expenses into the joint “holding account,” and that way we know we do not have to worry for the rest of the month. We also have a joint credit card, and we filter all our eligible expenses through that, so we can max out our rewards.
So that is how we manage our money as a couple – listen to the podcast below, or check out the highlights for more information.
We all think about money differently
The best way to get your partner comfortable with you being involved in their finances is to not judge them for the way they manage their money. We were all taught differently, and we cannot judge people based on what we think is right. They probably believe that you are crazy for the way you handle your money too! So, rule number one: Accept the fact we all manage our finances differently.
Not everything is going to go according to your plan, and when something deviates from your perfect picture of how things should be, you cannot blame your spouse. You need to approach the issue as a couple and talk it through. If you play the blame game, you will make zero progress in your quest for financial harmony.
Open communication is essential
I talk about money all the time to Kendra – to the point where it is annoying for her. You should talk about money with your partner. A lot. Get comfortable with being uncomfortable.
Set joint financial goals
Don’t keep your financial goals a secret. It’s okay to have separate financial goals, but you should also have common financial goals. Working toward common goals is such a great feeling. It creates a real sense of ‘team’ and will love it, trust me.