As a couple, managing money matters is quite a different story. In any marriage, time is essential in order to understand each other’s habits, nature, likes/dislikes, similarly, it takes time to understand each other’s spending habits, investing ideas, lifestyle etc. Unfortunately, there is not much guidance or any courses available which can teach couples about money and investing.

‘Money’ is one of the common reasons for divorce and for fight between a couple. Many times, couples, ignore the topic of money or do not discuss it in order to avoid fight/issues. But that actually builds up the pressure and creates stress in the relationship.

Rather than treating money as an ‘Elephant In The Room‘, both should accept the fact that money is an important matter for both partners and for their home. Having open and healthy discussion can remove the conflicts or confusion.

When two different people with their own blueprints comes together, disagreements or confusion is natural. Husband & wife, are two different people, grew in totally different environment, financial situation, family background and education. It’s obvious that both could share different opinion and views about money.

Financial environment during childhood plays an important part on person’s spending habits. One partner might be very conservative when it comes to money spending while other partner finds it extremely satisfying to buy items and spend money. Funny thing is when couples fight over money most of the time, basic reason is- One is saver and other is spender.

When it comes to money & relationship, it’s always evolves around emotions and it makes it hard to take a final decision. It is better to sit down and discuss openly by respecting each other’s views and jointly agreed to a plan to escape problems. This will automatically lower down the stress and bad  impact on your relationship.

Few tips:

• Consider about financial goals- Individual Goals and Family Goals as a team. Set the priorities and arrange goals accordingly.
• Choose methods/plans to manage expenses related to home and investments like:-

1. Combine- are you going to combine each other’s income(if both are working) and spend it on home overheads and investments equally
2. Spilt it between both- as one will take care of home expenses and other will invest or
3. Manage individually- for their expenses and investments but will share some home expenditures.

• Discuss about income- With expenses and money outflows, it’s important to chat about money inflows too. If you both are working/earning, then both should know the total income of household and how to manage it. If only one is working, then better to inform other partner about  income details. Also, share information about future career plans, job change, aspirations, side hustles or if wish to start any startup. Find out if any one or both can work together in order to get a passive income source.
• Bank accounts- Decide how you want to keep the bank account, joint or individual and reasons for it. Generally, if both, husband and wife are working then it’s better to keep accounts sperate from taxation point of view. But it’s all up to the couple to mutually decide and agree.
• Talk and decide mutually about each other’s spending habits and how to control expenses in order to save. Both must be willingly supportive to reduce any spending/expenses, as I said earlier, one’s spending may be senseless to other.
• Discuss about retirement and planning- retirement planning is for both; it’s not only meant for men. Women should also plan for her retirement. Therefore, discuss about joint expenses essential during retirement, corpus required, how and when each one of you planning to take retirement etc.

The key is to be open, make mutual decisions, respect & support each other and make adjustments where-ever needed.

Note:- Above article based on one of my Quora Answer.