Money Matters Too

Talking with your partner about financial matters

Most of the time, couples are very excited of moving in together, deciding on where to live, what furniture fits what room, etc., that they fail to see the importance of talking about money. Usually, live-in couples, who didn’t have a well-planned move-in, experience a lot of disagreements especially if it’s about financial matters. So to avoid this, everything should be settled down first.

Here are 5 tips couples should keep in mind to have a successful move-in.

Tip#1 Discuss about money

In planning your move-in, it is very important to include money matters. Talk about your attitudes toward money, how each spend and save, financial priorities, and of course, your short-term and long-term goals. Don’t hesitate on talking about the details on sharing the same space. Compromise on how you can pay the rent based on how each earns. Be open about what you are willing to pay, it’s better if one is not forced to pay for an expense he/she is not comfortable with.

Tip#2 Maintain separate finances

You should be the one managing your personal finances. Don’t combine your bank or investments accounts, neither apply for a joint credit card. You wouldn’t want to be in a costly legal battle over the assets when the two of you break-up. In case you’ll end up getting married, you can have a joint account but make sure you still have a separate personal checking account for your individual expenses.

Tip#3 Document your agreement

Write down everything you have agreed on like how much each partner pays for rent, assignment for household expenses, due date of bills and others. "The documents proclaim to you, your partner, your family, your community and the legal system that, though you choose not to marry or cannot legally marry, your relationship is important and valid enough that you're willing to put in writing your rights, responsibilities and obligations to that relationship," say Sheryl Garrett and Debra Neiman, authors of Money Without Matrimony.

Tip#4 Write down and separate major purchases

Keep track of major purchases by placing the name of the payer on the receipt and then file them all. An example is when buying furniture, it’s better if there will be an assignment of who buys what furniture, so that it will be even. In this way, arguments over ownership will be avoided when things don’t work out. For a bigger expense such as a dining room set, you can split the cost but make sure you have a plan of what will happen to the property in case you break-up. If you have previous properties such as a car, keep them separate as well.

Tip#5 Be clever on housing matters

In renting an apartment, names of both partners should be in the lease. You could also sign a short-term lease for about six months or less, just to be prepared when the relationship doesn’t turn out the way it should be.

Buy a home together only if you’re both sure for a long-term commitment to each other. If you are decided on doing this, consult a lawyer for real estate to help you regarding legalities.

Money matters are really something live-in couples or moving-in couples should take into account. By making an agreement about your finances, you’ll be one step ahead on making your moving-in a success.

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