In a relationship, you will likely know your partner inside out, from their interests to their dislikes, and their life goals. But how much do you know about their finances? For most couples, having the “money talk” and talking about debt, spending habits and savings is not an easy task.
Across the world as well, couples say that money issues are the biggest cause of stress in their relationships*.
Finding a way to manage your finances that suits the both of you is essential for a strong and happy relationship. So how do you even start the conversation?
Here are some considerations that can help:
How should we split the household bills?
If you’re moving on to the next stage of your relationship and planning a wedding, you might want to decide who will be responsible for settling monthly household bills and who will pay for repairs, car loans or the mortgage.
How much should we save and invest for the future?
Talk about your income and the things you want to save for, such as children, furthering your education or yearly vacations. You can also talk about how to best plan for your future - whether it's investing in Unit Trusts, purchasing assets, or more.
Having this conversation can help you and your partner make a savings plan that works for all of your goals.
Manage your debts
Personal loans and credit card debts - marrying your partner can mean marrying their debts as well. Now is a good time to discuss what debts you and your partner have and work out a plan to manage them.
Talk about each other's spending habits too, and see if there's anything that can be improved for your new life together.
Open a Joint Account
As a couple. you'll share your lives and more, and this includes bank accounts. Talk to your partner about setting up a joint account that works best for the both of you, and how much you'll both contribute to the account. Why not opt for a CIMB FastSaver Account, which offers you high interest rates with no multiple conditions?
What are your career plans and how can I support them?
Your jobs and your joint finances go hand-in-hand. Talk about career plans and any changes (such as a promotion or a relocation) that might come up in the future. These will affect your income, expenses and spending habits.
Your joint finances are part of your marriage and life together as a couple, so be sure to keep discussing your finances throughout your marriage. You can start by sharing this article with your partner.
This article is brought to you by CIMB as part of our ongoing efforts to raise the level of financial literacy amongst Singaporeans. Financial knowledge and understanding are key to making well-informed and meaningful financial decisions that will improve everyone’s well-being. This in turn, achieves CIMB’s purpose of advancing customers and society.
Deposit Insurance Scheme
Singapore dollar deposits of non-bank depositors and monies and deposits denominated in Singapore dollars under the Supplementary Retirement Scheme are insured by the Singapore Deposit Insurance Corporation, for up to S$75,000 in aggregate per depositor per Scheme member by law. Foreign currency deposits, dual currency investments, structured deposits and other investment products are not insured.