Wedding season is here! If you are one of the soon to be brides or grooms, take a look at some helpful financial tips to consider before tying the knot.
5 Tips for Couples Getting Married
1. Communication is key! Before you tie the knot, set aside time to discuss finances with one another in a relaxed environment. Be open about your income, your debts and your spending habits. Being fully aware of your partners financial situation helps to start your lifetime together on the right track and avoid any surprises!
2. Separate or Joint Accounts? While this is a personal decision, I suggest that couples have at least one joint account pooled for savings and household expenses. You can still maintain other separate accounts for discretionary spending, but having at least one joint account makes sharing living expenses much easier.
3. Put it in Writing. There is nothing romantic about legal documents, but it is important to have the proper documents in place to safeguard your assets. Prenuptial agreements and legal trusts can designate assets acquired prior to marriage to the owner even after marriage.
4. Create a Spending Plan. Make a simple budget prior to the wedding. Monitor joint spending for a few weeks so you can have a better sense of your total joint expenses. Once income and expenses are tallied, you can then see if it is appropriate to keep similar spending habits or find areas where you can cut back.
5. Create a Joint Strategy. Now that you are a partnership it is important to have joint financial goals you both agree upon and a strategy in place to work towards these goals. A financial advisor can help implement a savings and investment strategy to help you achieve your lifetime financial goals together.
Giana C. Armano
Flagship Private Wealth
Women & Wealth
Investment Advice offered through Flagship Private Wealth a registered investment advisor and separate entity from LPL Financial. Securities offered through LPL Financial, member FINRA/SIPC.