Before You Say “I Do”, Consider These Financial Tips!
The day you tie the knot is undoubtedly one of the most important days in your life. But have you already checked how your spouse-to-be handles money or credit? Before you experience wedded bliss, you should first determine if you are financially ready to enter the world of the married by reading the following suggestions.
Build Up An Emergency Fund
Before you plan a wedding, make sure you have planned for emergencies first. Engagement is only the first step towards a whole lot of future spending that follows. From your wedding to finding a home, children, student loans, and more, you should already think ahead of the times so that you can prevent being financially unable to provide for your future family.
Know How Much You Spend Each Month
Through plotting down and creating a systematic budget, not only can you determine your priorities in spending, but you can also learn which aspects of your monthly expenditures to cut back from. Now that you will be starting a future for an entirely new family, you should consider healthier spending habits and be more economically-conscious. Allot most of your earnings for fixed expenses such as electricity and other utilities, rent or mortgage, and food.
Have A Decent Amount Saved Up For Retirement
Learn to save up part of your earnings for investments, insurance, or retirement plans. Other than that, know how you can maximize your options by asking for help from your employers on the subject. Never take or borrow money from your retirement plans to spend on your wedding, because it will only derail your retirement savings in the long run. This is why it is important to create savings early on in life, so that wedding plans—among other great surprises in life— do not have to become stressful!
Think About Where You’ll Live
Purchasing a home is a huge expense. You and your spouse will have to account for the mortgage, home insurance, or home loans on top of your already-growing wedding expenses. Even if you are not considering buying a house in your immediate future, you will eventually still end up buying one as your family grows. Whatever it is that you lovebirds decide on, just make sure that you have enough cash to spend and budget.
Consider Your Debts
Although it is normal to have debts while being engaged, try to keep it at a minimum because it will be harder to pay once more expenses have been incurred after the wedding. Try paying your debts off little by little long before the wedding happens. No one wants to start their marriage stressing about debts, right? Make sure you and your spouse are open about these matters and serve as each other’s financial advisors.
Be Comfortable Discussing Financial Matters With Your Future Spouse
It’s all love and happiness until you and your spouse-to-be finally hit a point where you don’t see eye-to-eye with your finances! So before you get hitched, make sure that both of you are transparent and agree on money matters that could cause a rift between you two in the long run. Most marriages end up sourly because of these little things that are left unsaid. When you encounter bumps in finances, your relationship sometimes also takes a hard hit, so it is best to clear out the air early on. Remember that in the end, you are each other’s greatest investment.
Now that you’ve considered the basics, do you think that you can finally say “I do”?
Based on materials from moneyunder30.com
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