One of the most challenging conversations in marriage relates to money. Many married people will tell you that is one of the few things they fight about. However, there may be many difficult moments if a newlywed couple is not on the same page about a budget and spending money. Here are some tips for a newlywed couple to save money.
Be On The Same Page
It is so essential that you start your marriage with a budget. First, you need to create a budget together that allows you both to feel comfortable with the amount of money being spent. During this conversation, you should discuss financial obligations. This includes how the bills and debts are being paid and who is paying them. If you both assume the other person is paying the bills, that is going to put you in a tight spot. Next, you want to talk through your long-term financial plans and goals.
Make sure to have some money set aside that is fun money and can be spent on anything. It is also helpful to have a set amount of money that can be spent without needing a discussion. For example, spending $150 on a pair of shoes might be ok, but remodeling the bathroom is not. According to Houzz, you can expect to spend an average of $11,700 on master bathroom remodels.
Create An Emergency Fund
You never know what is going to happen. While you do not expect or want to find yourself in an emergency, it could happen. The best way to prepare for it is with an emergency savings fund. Together it would be best if you discussed what constitutes an emergency.
Before you find yourself in a situation where one of you considers it a reason to tap into this fund, have a conversation about it. This is a great way to get your marriage started by having a security fund that you can rely on if needed. In addition, you can budget how much money you want to send to your emergency fund each month.
Discuss Goals
As a married couple, you may have a good amount of joint goals. You may have some individual ones, but you should discuss your joint goals. This may include things like vacations, money for holiday spending, buying a car, remodeling your house, and retirement. Once you talk about your goals, you may want to put a timetable around them. This is helpful so that one of you is not expecting a vacation every year while the other partner thinks you are saving for a vacation every five years.
Open communication is essential. Also, it would be best if you talked about what the goal details. For example, if you are considering remodeling your house, what does that mean? Is that the kitchen, the bathroom, or finishing the basement? It could be smaller scale items like furnishing your family room or purchasing window treatments for the entire house. Aluminum blinds are a low-maintenance and long-lasting option for window treatments. You can find them for windows of all sizes.
Another consideration is planning your wedding and the budget associated with it. A wedding can be an expensive undertaking; however, there are ways to save money and have the wedding you want. It is a wise choice to create a wedding budget and perhaps consider a wedding planner. According to The Knot, nearly one-third of couples hire some form of a wedding planner.
Newlyweds are just starting their life together, and it is essential to get it started properly. One of the best ways to do that is to talk about a budget and make some financial decisions together.