Important Money Conversations to Have on the Next Stage of Your Relationship Journey
Sometimes having the money talk can feel awkward, especially in romantic relationships. Remember, many of us don’t learn about money in school and depending on how we grew up and what types of conversations we were exposed to, it can affect how we feel about money later. Ask yourself, what kind of relationship do you have with money today? Were you comfortable having money conversations with your partner during the dating process? If you are taking the next step in building a future with your new love, read this to learn how to tackle the money conversation with your partner as your relationship grows to the next level.
Money Conversation 1 – Are We Financially Ready to Move In Together?
Answer: Assuming you are already at the stage that you can’t seem to fight the loving feeling, the answer may already be yes. But hold on for a moment. Ask yourself, what do you know about your partner’s financial circumstances? Would this be something you are willing to roll the dice on and find out about later? How would you feel if you learned your partner was tackling severe debt? If you are thinking about taking the next step, now is the time to have a heart to heart about the state of each other’s finances. Start this conversation by coming clean first and discussing your overall financial situation, including the good, bad, and ugly. Please talk about the goals you would like to share with your partner and encourage them to share. Hint: If your partner is cagey about talking about money, you may want them to understand that being able to talk about money is essential to you. You will want to know whether you can have these conversations before taking the relationship to the next level. This is a crucial area of the relationship to work on, as one of the primary reasons couples break up is money. You will need to talk about money many times throughout your relationship.
Money Conversation 2 – Do we need to consider drafting a Cohab, Pre or Post Nup Agreement?
Answer: It is undoubtedly one thing to fall in love, get married, or move together, coming out of college. It is totally different if you contemplate a new partnership after a divorce or later in your life. There is often so much more at stake. Perhaps you have had to part with a significant portion of your assets coming out of a divorce. You may also have child support and spousal support obligations to keep up with. You may also be wondering how you will ever afford to retire. And yet, here you are. Prepared to commit even after having suffered a crushing financial and emotional loss from your past relationship. Recognizing that no one ever comes into a relationship expecting it to fail, what would a broken relationship do to your finances? More importantly, CAN YOU AFFORD IT? A prenup, postnup or cohabitation agreement with your new love means your finances have a chance to be left intact if the relationship unravels in the future. Keep in mind this agreement will protect your new love too.
Money Conversation 3 – Do I need Help in Facilitating a Conversation with My Partner?
Answer: If you struggle with having these conversations on your own, get help. You don’t have to face having crucial money conversations on your own. Enlist the services of family law or financial professionals to help you facilitate these conversations with your partner. For example, if you contemplate adding your new partner to your will, this is an excellent opportunity to get your family lawyer involved. Or maybe you would like to build a financial plan that considers your financial goals as a couple. A financial advisor can help you tackle your financial strengths and weaknesses as a team and offer practical solutions to get you there. Tackling meaningful money conversations right from the beginning will pay dividends in your relationship for many years to come.
As a financial expert, a CFP can help you understand your financial situation. We can identify economic opportunities to reach goals you might not identify on your own. If you want to get started with a financial plan, book your complimentary 30-minute financial planning session with our team! We are here to help you on your financial journey as you build your financial fortune. www.askjackie.ca/contact-us