The days leading up to a wedding are filled with excitement and anticipation. Many couples have discussed everything from where they want to honeymoon to how many kids they would like in the future. However, one important topic newlyweds tend to gloss over is money. But taking steps to ensure your marriage starts off financially sound is an important part of a lasting, successful relationship.
According to a recent article in the Wall Street Journal, managing your money as a couple goes beyond just merging bank accounts. Here are some money moves newlyweds should consider after saying “I do”:
Learn about investment and financing together. Enrolling in a financial education course or selecting a book on money management to read as a couple is a great way to spend time with one another and plan out your financial future.
Build up an emergency fund. Many wealth advisers cite a liquid savings account with enough money to cover three to six months of expenses as a top priority for newly married couples. This rainy day fund will be a welcome cushion should you encounter an unexpected job loss or unanticipated vehicle repairs.
Define your money goals. Sit down together and decide what your goals are for the future and the investment strategies that can help you realize them. Whether your dream is to buy a house, travel the world or start a family, plotting out a financial path to get there is an important first step.
Share money stories. Many couples bring separate attitudes and approaches to money into a relationship. By sharing financial successes and lessons from the past with one another, you can get insight into where each of you stands when it comes to money management. This also will help you identify spending habits and one another’s risk tolerance.
Update beneficiary designations. After the nuptials, take time to make sure all the beneficiary information in your insurance policies and retirement plans are updated with your new spouse’s information. It’s also a good idea to revisit your beneficiary designations on a yearly basis to make sure the information has stayed current with any life changes that may have occurred.
No matter what you are striving for, Capitol Federal® offers solutions that will help you get there. Click here to learn how we can be your financial partner through all stages of life.