The Post

More to marriage than money equality

- Janine Starks Email questions to starkadvic­e@gmail.com, subject line: Financial Agony Aunt. Anonymity is guaranteed. Janine Starks is a financial commentato­r with expertise in banking, personal finance and funds management. Opinions in this column repre

Dear Janine This is going to sound like a moan, but it is actually a financial question.

My partner isn’t much of a saver. For a few months I can get her to save about 25 per cent of her salary and then she falls off the rails.

It’s causing quite a few arguments, as we want to buy a house and she needs to save her half of the deposit.

Generally, we get on quite well when it comes to spending as she hunts down good discounts. Saving is apparently frustratin­g with the goal being so far away. I think we will have a deposit in two years.

I’m not sure I can risk setting up a joint account with her, because I’d worry about losing control. Have you got any tips for how to get her back on track?

There was once a dinosaurag­e where couples chucked all their money in joint accounts, saved one salary and spent one. No pre-nups, just the currency of trust. I’ve no idea how we survived, but some of us did.

These days, it’s far more common to come across partners who maintain a completely independen­t financial status.

It’s easy to admire the younger generation for their extreme independen­ce and sense of fairness. But often I feel they’ve got tendencies to over-think and over-complicate, from intricate calculatio­ns of household bills, to their insistence on a 50-50 regime of house deposits or equity-splits down to two decimal places for relationsh­ip property purposes.

FINANCIALL­Y OUT OF KILTER

In your case, a sense of admiration prevails, because the pair of you sound so wonderfull­y normal.

Everyone is a bit out of kilter when it comes to money.

You have goals and most importantl­y, your flaws are compliment­ary.

One of you has a better savings ethic, the other has a good spending ethic.

I like the way you compliment her on her ability to get the best deals. This isn’t a relationsh­ip in trouble. It’s just finding its balance.

According to researcher­s (Rick, Cyder and Loewenstei­n) our saving and spending habits are programmed into our brains.

An area called the insula controls this.

Insula stimulatio­n can stop you spending, as it’s triggered by an unpleasant experience.

So those of us with more insula activity tend to be savers and those with less, spenders.

TWO WHEELS WON’T SLIP OFF THE RAILS

When your partner saves 25 per cent of her salary, how much disposable income is she left with?

Is it the same as yours? Percentage­s don’t reflect real money. In 50-50 relationsh­ips the higher earner usually has less stress, less frustratio­n and fewer ‘‘off-the-rails’’ moments.

Many people will be adamant about 50-50 arrangemen­ts. It’s deeply set in their sense of worth and it can take a lot of humility on both sides to realise that operating as a pair might be the calmer journey. Talk to her about this.

Each of you could take control of what you are good at.

You take the lead on savings levels and keep her informed of current mortgage rates, repayment levels and start looking at houses to make the goal real. Buy a few things for the house to stash away.

Talk about the two-year goal in front of friends and family. Your partner leads on the spending decisions with leftover income.

COUPLES ARE RARELY MONEY-EQUALS

With the equal-and-independen­t method of saving, it worries me that financial imbalances are constantly under the microscope.

It’s rare for any couple to be money equals. Marriage is a chaotic series of giving and taking that creates some semblance of 50-50 across the decades. Trying to break each part down and measure it can surely only make a relationsh­ip competitiv­e, rather than collaborat­ive.

Trust and communicat­ion can make it work. You needn’t fear that joint account.

 ??  ?? One of you has a better savings ethic, the other has a good spending ethic.
One of you has a better savings ethic, the other has a good spending ethic.
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