Wednesday, August 14, 2013
Todd Ossenfort suggests seven common sense steps to maintain financial health and well being for married couples.
Knowing how to managed your money will help you determine the best way to manage for your future endeavors. Keep in mind open communication about your finances and other topics is an important ingredient in a successful marriage. Take into considerartion that most arguments about money lead to the top five reasons people divorce.
Todd Ossenfort: Steps to financial well being; for the married couple
Consider the following steps for fiancial well being for the married or getting married:
Step 1: Checking Accounts: Will you decide to have joint checking and savings accounts or will you decide to keep separate accounts? Many couples each keep a seperate savings account, for use on those special occasions. For example Christmas, anniversaries, birthdays etc.
Step 2: Living: Will you live in a home/apartment that one of you already has prior to the marriage? Who will be responsible for the purchase of your home? Will you purchase as a team or seperate? Some couples make the decision for one person to hold the mortgage if the other spouse has bad credit.
Step 3: Buying Power: Everyone needs a budget and or plan for how they will spend money. Keeping open communication is a great way to learn how each of you prioritizes. There are no right or wrong ways to spend; just different approaches. Always be prepared to compromise. Another good idea to keeping comminciation open is to make an agreement that any purchase over a certain amount should be discussed prior to purchase. This keeps arguments from happeing and it keeps buyers remorese to a minimum.
Step 4: Bill paying: Usually, one partner or the other is more structured at keeping up with bill paying. Nevertheless, that does not keep the other partner out of the clear. He or she should comprehend of what is being paid and how to make the payments if needed.
Step 5: Savings: Another important conversation to have with each is how each of you feel about savings accounts, and emergency accounts. Compromise is greatly encouraged, not just letting the issue fall to the way side for another day. Emergencies happen all of the time, be prepared for them.
Step 6: Credit cards spending: The recoomendation is to keep at least one credit card in each of your own names. Then you can add each other as authorized users to your other credit card accounts. Keep in mind that any negitive activty reported will affect you both.
Step 7: Liabilities: If either of you are bringing debt into the marriage, you will have to decide mutually how the debt will be paid off. This can become an problem, especially if one partner has large student loans or credit card debt. Keep in mind, once you are married the debt becomes both of partners obligation to repay.
In the conclusion, never to keep financial secrets from your spouse always communicate about every aspect of your financial well being. Spouses who do no commicate and keep secrets can cause detrimental damage to your marriage.
Take care of your credit!