When Two Bank Accounts Become One – Finances for Newlyweds

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First comes love, then comes marriage… Then comes combining your finances! With all of the excitement of planning a wedding and starting a life together, it’s easy to overlook one of the most important aspects of your two lives becoming one, your finances. Before you take the leap into married life, follow these steps to ensure a happy marriage with no financial setbacks.

Have a Conversation

The first step to combining finances in a marriage is to have an open, honest discussion regarding all things finance and money. You don’t want to be in year two of your marriage and find out your spouse has hidden debt or loans! Make talking about finances easy and stress-free by laying it all out on the table from the beginning. This establishes an even deeper level of trust and will set you up for success later on in life.

Set Goals & Budgets

The next step is to set goals and budgeting plans for your future. From your retirement plans to monthly expenses, it’s important that you and your spouse are on the same page from the beginning. Talk through each other’s wants and needs for the future. Discuss where you see yourself and your spouse in the next 5 years, 10 years and so on! In addition to discussing goals, it’s also important to set budgets. In the first years of marriage, it’s easy to spend on luxuries that you wouldn’t normally be purchasing. Examples would include vacations, cars, and even purchasing a home. Take some time to plan out your budgets before making these big purchases to ensure a life with little to no debt!

Set Up Accounts

After having these important discussions, the next step is setting up your bank accounts. There are different options for every couple’s lifestyles. You can have a joint account together, have separate accounts and a joint account, or have completely separate accounts. This is where steps one and two come into play, by having the conversations about spending habits and goals beforehand, this allows you to decide how you want to split up or link your accounts.

Blend Lifestyles!

Now that you and your spouse have an understanding of each other’s finances and a plan laid out for your future, the last step will be a work in progress! Combining lifestyles takes time, patience and some compromise. From the splurges to cutting back on funds, it’s imperative to remain honest and candid with one another. One of the biggest mistakes married couples make is a lack of communication between partners.

Now that you know how to handle your finances, enjoy your lives together and cherish all of the special moments in your marriage!

Still need more financial coaching? At Camino Federal Credit Union, we put our member’s financial well-being first. If you would like to learn more about how we can help you with your finances, call us at 800-835-3400.