The nature of work, money, the housing market and life today means that many people are likely to find themselves in a mixed-finance relationship.
If you are in your 20s or 30s and dating, this may sound familiar – your partner may have started their career already while you are still a student. You may already own a property and meet someone struggling to pay the bills.
Money has enormous influence over our lives, and can dictate the power balance in relationships. Over the course of a long-term relationship, this balance will probably change. Weddings, children, home ownership, career breaks, periods of illness or unemployment and retirement can all affect a couple’s finances.
Heartbreak is one thing, your money’s another.
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Sharing money management responsibilities can also help you and your partner get on the same page. Research shows that couples who have shared bank accounts, jointly plan spending and savings enjoy more relationship satisfaction, less financial conflict and better sexual relationships than less financially integrated couples.
While couples thrive on money collaboration, keeping your own financial independence is critical. A relationship is not a reliable way to secure your financial future. Breakups can be expensive, but the financial impact is lessened if you have maintained your financial independence during the relationship.
Make sure you have a plan for how to retain your financial independence and secure your own personal finances. Couples can still collaborate and be financially honest while keeping an element of individual financial independence.
It is never too early or too late to start to talk about money, regardless of whether you are a few weeks or decades into your relationship. If you struggle, bringing in a third person, be that a therapist, financial advisor or trusted friend can be helpful.
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