Whether the plan is to move in together, get married or live as civil partners, long-term couples eventually face important financial decisions together.
It’s head-swirling stuff. After all, money is one of the top reasons that couples split, so communication is key!
To help you and your partner find what works best for you, consider the four ‘C’s:
1. Conversation. Some people see combined accounts as convenient, while others may feel a loss of financial independence. Talk with your partner about what you both consider as benefits and drawbacks, and be honest.
2. Compare. When having financial discussions with your partner, transparency is important. Are you both on the same page about your short-term and long-term financial goals? How will separate or merged finances affect said goals?
3. Compromise. But what if you both have different financial priorities and goals? If this is the case, consider a compromise. Some couples may create a joint bank account for household expenses but keep separate accounts for personal use. You can also list your partner as a beneficiary on your assets rather than fully merging them.
4. Change. Life can change unexpectedly, even with the best financial planning. Keep an open conversation about finances a constant throughout your relationship. Life events like employment change, retirement, buying or selling a home, and adding to the family will require careful planning and conversation.
Joint or separate finances can be complicated. If you need professional guidance, give me a call at (843) 475-3038 or set up a time in my online scheduler for a free 15-minute discussion on how we can help you build the road to long-term financial success together!