Let’s see, you’ve got the wedding chapel and the caterer booked, the dress selected, the cake designed, the wedding invitations mailed, vows written, finances talked about — oops, forgot the last item?
Frequently lost amid the romance, jitters and flurry of pre-wedding activities is a heart-to-heart talk about personal finances between the bride and groom. I know it doesn’t sound romantic. It may be a touchy subject and a topic most want to leave until after the honeymoon. But if you can’t talk about finances before the wedding, are you any more likely afterwards? Money conflicts are a leading cause of marital strife and divorce. A frank discussion of finances before you say “I do” may go a long way in your favor.
One of the first steps to take is laying your financial cards on the table. Among couples, this often involves the subject of debt. Will the person who is not in debt help pay for some of the debts, or will each party keep their finances separate, at least until the debt is under control?
Each person should get a copy of their credit report to check it for accuracy and discuss it together. One person’s poor credit rating could harm the credit rating for the other once they marry.
Beyond simply laying out your finances, it’s wise to discuss your views on money and investing. Are you a spender, a saver, a hoarder? Will one of you handle day-to-day finances, such as paying the bills and balancing the checkbook?
What about your financial goals and dreams? Retirement may be a long way off, but what if one of you plans to retire at age 50 and the other figures on working to age 70? Do you both want to buy a home, how about children or going back to school? Just as couples frequently receive counseling from a minister or priest before marrying, couples should consider talking with a financial advisor.
For more information contact Rebecca Robins, CPA/PFS, CFP®, at 661-702-9680. Her office is located at 25001 The Old Road in Stevenson Ranch. CA Insurance Lic#0D75745.
Securities offered through H.D. Vest Investment ServicesSM, Advisory Services offered through HD Vest Advisory ServicesSM, a non-bank subsidiary of Wells Fargo & Company, Member SIPC, 6333 North State Highway 161, Fourth Floor, Irving, TX 75038, 972-870-6000.