Money & Marriage

"Money is not the most important thing in the world. Love is. Fortunately, I love money."-anon

The Wall Street Journal has an excellent article entitled, Questions to Ask After 'I Will' but Before 'I Do'.

“Couples don't fight over love. They fight over money. They fight because one person didn't balance the checkbook or made a bone-headed investment without consulting the other.” - WSJ

Here are topics to discuss with your fiancee before you marry:

1. What are your Assets and Liabilities?
Don’t wait until after the wedding to discover your partner has a huge school loan. Or skimp on the wedding and then discover she/he is independently wealthy but also cheap. Or has a huge portfolio of stocks but refuses to sell them for any reason.

2. What are your long-term monetary goals?
Is there a debt you want to pay off ASAP? A car or big vacation you want to save for? Make sure your spouse is in agreement.

3. What are your money habits?
Do you max our your credit card and then make the minimum payment while your partner to be abhors debt and pays for everything in cash upfront? If your spending habits clash, expect some heated fights ahead.

4. How will you divide financial duties?
Who will balance the checkbook, pay the bills, decide on which bank, CDs and other investments? Who will deal with insurance companies and medical bills? How will you decide on large costs like home remodeling, a new car, new suits, etc.

5. How will you divide the money?
If you both work will you keep separate accounts or pool the money together? If you share, will there be limits on individual spending? Imagine a spouse who enjoys a $50 lunch each day at work or with friends. Or has an expensive hobby that drains the account dry.

Bottom Line

From WSJ - “What couples don't always grasp is that money is rarely the real culprit. It's the lack of communication, often stemming from a lack of knowledge about each other's personal financial quirks and beliefs.”