managing money

Money is one of the biggest stressors in any marriage, especially when each person has a different approach to managing money. As a couple, it’s important to be united in your financial decisions.

If you need help managing money as a couple, consider these points:

Create a Shared Vision

To create a shared vision, you and your spouse should have open communication regarding money. This doesn’t mean you should pick on one another about your spending habits. Rather, have ongoing conversations about your finances where you can talk about both big- and small-picture items.

Keep in mind, it’s not worth getting stuck in the trees (petty spending) when you should be focusing on the forest (your vision for the future).

Understand Your Risk Tolerances

One of you may inherently be a bigger financial risk taker than the other simply because of your relationship with money growing up. It’s important to understand where your views on money differ. A financial advisor can help facilitate these conversations and, through your financial plan, find a “middle ground” that works for both spouses.

Get Comfortable Talking About Money

It’s common for one spouse to have a higher level of financial literacy or confidence than the other. That person may be the one who engages with your family’s financial advisor or tax professional.

However, that doesn’t mean that the more financially literate spouse gets to make all of the couple’s financial decisions. Both spouses should be involved in big-picture discussions and goal setting (like helping the children, saving for retirement, investing in the market, etc.).

While being on the same financial page as your spouse is important in every family, higher net worth families will see the problems magnified since they’re dealing with larger investment portfolios. A difference in opinion between spouses will grow when determining how to pass on the family’s assets and legacies to the next generation. Profile Investment Services, Ltd. works with couples who have seven- and eight-figure nest eggs create and implement a strategy for generational transfer.  If you’re ready to work with a financial professional who can facilitate these conversations and help you in managing money as a couple, contact us today: 02-624-2788.

Douglas Goldstein, CFP®, GFP®, is the director of Profile Investment Services, Ltd. He is a licensed financial professional both in the U.S. and Israel. Call (02) 624-2788 for a consultation on how to set up your American assets to meet your financial goals. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of Portfolio Resources Group, Inc. or its affiliates. Neither PRG nor its affiliates give tax or legal advice.

Published January 14, 2024.

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