Getting married is a huge step in a person's life. It is important to be prepared for everything that comes with marriage, including the financial aspects. That is where premarital financial coaching comes in. A premarital financial coach can help a couple get on the same page financially and make sure they are ready for the financial challenges and rewards of married life. Pre-marital financial coaching also helps couples create a roadmap for their financial future and avoid potential problems down the road. Here are several good reasons to attend financial coaching for premarital couples:
1. Learn Each Other's Spending Habits
Financial coaching for premarital couples is a great way to get on the same page regarding spending habits. You can learn whether or not you are both on the same page financially, what kind of things you like to spend money on, and how much money you are planning to spend in the future.
You should also see if you have any financial goals in common. If you don't, it may be time to discuss your different viewpoints and try to make some compromises that will work for both of you.
2. Assign Money Management Role
If one person is better at handling money or has more experience doing so, that person may want to take on the role of handling the finances. However, it is good to have a financial coach help you decide who will be in charge of what aspects of money management. It is crucial to avoid potential money management problems down the road.
3. Decide on Joint or Separate Accounts
It is important to decide if you will be keeping your money separate or if you will be putting it all together. If you want to keep separate accounts, a premarital financial coach can help you decide how much each person should contribute for expenses. You will also decide whether or not there should be a joint account for these household expenses. It is also important to decide who should handle household accounts and who should handle other accounts such as credit cards.
4. Assess Partner's Credit Worthiness
Before marriage, you should know how the other person manages their credit and handles paying off debt. A financial coach helps assess if your partner is a good candidate for borrowing money or opening a credit card. This financial transparency is key to avoiding money quarrels later on.
An open discussion about money and financial expectations is crucial to setting up a foundation for your upcoming marriage. To have a candid and guided discussion, consult a premarital financial coaching service such as Ruth Liebel Financial Coaching.