- Figure out what’s important. Make a list of short- (less than three years), medium- (three to 10 years), and longterm (10-plus years) financial goals. Rank the goals. Create a plan to achieve them, and get started.
- Communicate openly and honestly. Learn about each other’s “money life” so you can understand and work together better. Regularly talk about your values and goals; financial hopes and fears; and what you’re bringing in financially and what you’re spending as well as credit reports and scores.
- Join and separate. Have a joint checking account for household expenses with each of you contributing. Once needs are covered, each partner may want to have a separate bank account, credit card, or extra funds for “nag-free” spending.
- Pay expenses proportionately. Each partner could fund the joint account for household bills based on what he or she makes. For example, if one partner earns $40,000 and the other $20,000, the money set aside for expenses could be divided 2/3 and 1/3, respectively.
- Create a cash cushion. Set aside at least three months expenses to handle life’s inevitable surprises. A six-month cushion is even better.
Article from Self Insured Plans Discover the Benefits health news letter.