Like love, when it comes to money, honesty is the best policy. While you might find your partner’s inability to budget or expensive shoe habit endearing when you first meet, they could become major irritations very quickly – especially if it seriously impacts your finances.
Research has shown that couples who start married life in debt have a less happy marriage than those who don’t If you are in debt, now is the time to come clean. Discuss your obligations and decide together how to get your finances back on track.
The last thing you want to do is end up in debt before you even start out. Rather than view The Big Day as the main event, consider it as one of many monumental life events which include buying your first home, having children, taking holidays, financing education, caring for parents and saving for retirement.
74% : number of millennials globally who rent because wages are not keeping up with property prices.
Making your first home your forever home is tempting, but be realistic about what you can afford so you can still afford to have a social life. When calculating how large a mortgage you can afford, don’t forget the cost of renovation and new furnishings. Do you really need that open-concept kitchen or walk-in wardrobe?
Opening a joint bank account is a big decision for newlyweds, and financial experts agree that it is a good idea to pool your money in a savings account or an interest-bearing current account, which simplifies bill payments and regular contributions to savings and investments and can earn you a higher interest rate[i]. A joint account gives both partners access to all of the family’s financial resources, which can make a huge difference in life or death situations.
But a word of warning – it’s not advised if one of you has a bad credit history – which is why you need to have that honest conversation.
Start a financial plan for yourselves and your family early. The earlier you start, the greater the sum of money you will have for your future needs. The disciplined approach of a smart savings plan allows you to invest a fixed amount every month into mutual funds of your choice.
So before you say “I do”, get in touch with us to find out how you can kick start your financial plan.
This information is neither an offer to sell, purchase or subscribe for any investment nor a solicitation of such an offer. This information is general and does not take into account a person’s individual circumstances, objectives or needs. Investments carry risk and values may go up as well as down.
This article is brought to you by Standard Chartered Bank, UAE. Standard Chartered is not liable for any informational errors, incompleteness, delays, or for any actions taken in reliance on information contained herein.