Money Talks You Need to Have with Your Partner

The first ‘money talk’ can be pivotal in your relationship. It is important to find out if your partner has the same appetite for financial risk, investments and savings as you. In order to prevent yourself and your partner from the financial cost of love and relationships, opening the doors of communication and keeping them open is advisable. Finding the right time in your relationship to discuss your financial situation is essential and so are the topics you should be discussing with your significant other.

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To help you get started, here are some money topics for discussion:

Do you have life insurance?

This is not only an issue for the working spouse. If one partner is working from home or staying home and looking after the children, there needs to be a provision if they are unable to do so for any reason. Seeking protection through insurance is an easy way to safeguard your family.

How are your savings and investments?

Your partner can bring both good and bad financial history to the partnership. For example, he/she could be a spender or a saver, or perhaps your partner likes high-risk high-return investing. It is important to ask your partner about their money habits and find out if they are interested in setting aside money for the future.

What about your liabilities?

Mortgages, overdrafts, car loans, student loans – sometimes partners may be shouldering a debt but hesitant to talk about it. It is important to remember that your partner’s credit rating can affect yours even after a split.

Are your retirement plans clear?

Couples must work together for financial security throughout their life. You may have a working spouse who is investing in a pension, or your spouse may be reliant on you for retirement income. In both cases, it is important to safeguard the future by contributing towards a retirement plan which helps you maintain yours and your partner’s lifestyle when no longer in employment.

You might come across some challenging decisions in your discussion, for example, whether or not to merge finances, or perhaps adapting your money habits to suit the partnership, etc. In such cases, it is important to find a common ground first and then work on the differences from there on. A happy union is one in which there is honesty and transparency in all matters, including finances.