So, you’ve found your perfect match, and you’re ready to take the plunge into matrimonial bliss.
But before you start practising your “I dos,” let’s chat about something that’s not quite as romantic but just as important as choosing between a beachside ceremony or a bush bash – your finances.
At OneBudget, we’re all about setting you up for financial success, and that journey starts well before you walk down the aisle. So when you flashforward to when you’re budgeting for Newlyweds, you’re both on the same financial page.
So, grab your partner, a couple of cold ones, and let’s dive into the conversations that’ll set you up for a lifetime of financial harmony.
Why It Matters More Than Deciding on Your First Dance Song
Look, we know talking about money isn’t as exciting as taste-testing wedding cakes or choosing between a DJ or a live band.
But trust us, these convos are the secret sauce to a recipe for marital bliss. They’ll help you:
- Avoid nasty surprises down the track (nobody wants a “you owe how much?!” moment on the honeymoon)
- Get on the same page about your financial goals (because ‘happily ever after’ is a lot happier when you’re not stressed about cash)
- Build a solid foundation of trust and openness (essential for when life throws you a financial curveball)
So, without further ado, let’s jump into the 7 crucial conversations you need to have before tying the knot, it’s time to plan for your future and begin budgeting for newlyweds!
1. The Great Debt Reveal
First up, it’s time to lay all your cards on the table – credit cards, that is.
Why it matters: Debt can be a massive burden on a marriage if not addressed openly. Plus, in Australia, while you’re not automatically responsible for your spouse’s pre-marriage debts, they can impact your joint financial goals.
How to approach it:
- Share details of all debts (student loans, credit cards, personal loans)
- Discuss your attitudes towards debt
- Create a joint plan for tackling existing debts
Pro tip: Make it a game! Write down your debt figures separately, then reveal them simultaneously. The loser (or winner, depending on how you look at it) buys dinner.
2. Show Me the Money, Honey
Time to talk Turkey about your current and future earning potential.
Why it matters: Understanding each other’s income, career aspirations, and potential future earnings helps you plan realistically for your shared financial future.
How to approach it:
- Discuss current incomes and future earning potential
- Share career goals and how they might impact your finances
- Talk about any potential career changes or further education plans
Fun fact: According to the Australian Bureau of Statistics, the average weekly earnings for full-time adults in Australia is $1,737.10 (as of May 2023). How do you both stack up?
3. Spender vs. Saver: The Epic Showdown
Are you a bargain hunter or a luxury lover? It’s time to spill the beans on your spending habits.
Why it matters: Mismatched spending habits can lead to major conflicts down the road. Understanding and respecting each other’s approach to money is key.
How to approach it:
- Share your typical monthly expenses (get started with our Free Budget Starter Pack)
- Discuss what you consider essential vs. discretionary spending
- Talk about any financial habits you’d like to change
Tip: Try the “If I had $1,000 to spend right now” game. Your answers might reveal a lot about your spending priorities!
4. The Great Bank Account Debate: To Merge or Not to Merge?
Joint accounts, separate accounts, or a bit of both? It’s time to decide how you’ll manage your moolah.
Why it matters: Your approach to day-to-day money management can have a big impact on your financial harmony.
How to approach it:
- Discuss the pros and cons of joint vs. separate accounts
- Consider a system that gives you both autonomy and shared responsibility
- Talk about how you’ll handle shared expenses
Did you know? According to a survey by Finder, 71% of Aussie couples have at least one joint bank account. But remember, there’s no one-size-fits-all solution!
5. Crystal Ball Gazing: Your Shared Financial Future
Time to dream big about your financial goals as a couple.
Why it matters: Shared goals give you something to work towards together and help align your financial decisions.
How to approach it:
- Discuss short-term and long-term financial goals
- Talk about your ideal retirement lifestyle
- Consider how you’ll save for major purchases (home, cars, holidays)
Conversation starter: “In 10 years, we’ll be financially successful if…”
6. The Baby Talk (No, Not That One… Well, Kind Of)
Whether you’re planning on mini-mes or not, it’s time to discuss the financial implications of starting a family.
Why it matters: Kids are expensive! (Understatement of the century, right?) Planning ahead can make the transition to parenthood smoother.
How to approach it:
- Discuss if and when you want children
- Talk about potential costs that impact family budgeting (childcare, education, healthcare)
- Consider how parental leave might impact your finances
Fun fact: The cost of raising a child in Australia from birth to age 17 is estimated at $170,000 for low-income families and up to $340,000 for high-income families, according to the Australian Institute of Family Studies.
7. Worst-Case Scenario Planning (Because Life Happens)
Let’s talk about preparing for those “just in case” moments.
Why it matters: Having a financial safety net and proper insurance can protect you both if life throws you a curveball.
How to approach it:
- Discuss your emergency fund strategy
- Review your insurance needs (health, life, income protection)
- Talk about estate planning (yes, it’s a bit morbid, but important!)
Tip: Make it less gloomy by following up this chat with a fun “bucket list” discussion. Balance, mates!
How to Have These Chats Without Ending Up in Couples Counselling
Now, we know these conversations can be about as comfortable as a pair of budgie smugglers two sizes too small. Here are some tips to keep things smooth:
- Set the mood: Choose a relaxed time and place. Maybe over a barbie or a nice walk on the beach?
- Keep it judgment-free: Remember, you’re a team now.
- Listen actively: Try to understand your partner’s perspective, even if it differs from yours.
- Take breaks if needed: If things get heated, it’s okay to pause and come back later.
- Celebrate agreements: When you align on something, treat yourselves!
When Your Financial Stars Don’t Quite Align
If you find yourselves poles apart on some issues, don’t panic! It’s normal to have differences. Consider:
- Seeking advice from a financial planner (hey, that’s what we’re here for at OneBudget!)
- Attending a financial literacy course together
- Setting small, achievable financial goals to build trust and cooperation
The Never-Ending Story of Financial Education
Remember, these conversations are just the beginning of your financial journey together. Commit to ongoing financial education as a couple.
Read books, attend workshops, or consult with professionals (Did we mention OneBudget is always here to help?).
Wrapping It Up: Your Ticket to “Happily Ever After”
There you have it, soon-to-be-newlyweds! By having these crucial conversations before you tie the knot, you’re setting yourselves up for a lifetime of financial harmony.
Remember, marriage is a partnership, and that includes your finances. By being open, honest, and proactive about money matters, you’re building a strong foundation for your life together.
At OneBudget, we’re passionate about helping couples like you navigate your financial journey. Whether you need help creating a shared budget, planning for your first home, or setting up a nest egg for the future, we’re here to guide you every step of the way.
So, go on, have these chats, and then get back to the fun stuff – like deciding between a Pavlova or a cheese wheel cake for your wedding (why not both?). Here’s to love, laughter, and a lifetime of financial success together!
Ready to take the next step in your financial journey as a couple? Reach out to us at OneBudget. We promise to make financial planning as enjoyable as your wedding dance lessons (and a lot more useful in the long run)!
