How not to clash over cash
Fighting over finances is a major reason behind couples breaking up. But honesty, communication and planning can prevent it coming between you and your partner
Black boot, www.kurtgeiger.com WHETHER or not you see eye to eye over cash can make or break a relationship.
So, you might think you’ve met your match – but there could be trouble ahead if you aren’t financially compatible.
“Whether you’re married, living together or just getting to know one another, it’s crucial both parties understand each other’s finances and know how they view money management,” said Emma-Lou Montgomery, associate director at Fidelity International.
“Being open to discussing the long-term financial plans you may have, and vice versa, can save having a lot of issues further down the line.”
Here, Montgomery offers eight tips for making sure money doesn’t block the path to true love... BY VICKY SHAW reporters@dailyrecord.co.uk what financially in the relationship. The saver can encourage a healthy attitude towards financial saving goals, be it a first home, an adventure holiday, or just cash for a rainy day. On the other hand, the spender may take on monthly living costs and cover expenses like socialising with friends and family. All too often, couples leave one of the parties in the dark over big commitments, like savings or retirement plans, leading to misunderstandings and tension.
The money and your financial security belong to both of you, so make sure you both have at least a basic understanding of the state of your finances. Many people hide debts from their partner – often out of embarrassment. But honesty really is the best policy. If you’ve come to the point when securing a joint loan or mortgage makes sense, it’s crucial any unpaid debt or blips on credit scores come to light. A supportive partner will work with you to find a solution. couples have separate bank accounts, others keep a joint account for household expenses, some agree to split bills equally, some do it in proportion to their income, while others divide up the outgoings, with one person paying the mortgage/rent and another responsible for utility bills, for example. and covered. Separating them out also means they’re not a constant niggle to your partner. For example, if you both want to travel the world later in life, factor that into your finances now to make sure that when you do travel, you do it in style.