Budgeting for Newlyweds | Cleveland Bradley County Teachers Federal Credit

So you have found your soulmate, planned your ceremony and celebrated with important people as you step into the next chapter of life. Now that the wedding is over, all the big decisions are done, too, right? Well…not exactly!

If you are newly married or in a fully committed relationship, it’s likely the decisions have really just begun. Now that you have chosen to share life with someone else, you have to decide where to live, who is going to handle the cleaning, cooking—and how to take on expenses.

Budgeting can be challenging for anyone on their own, but combining budgets can present particular difficulties. Fortunately, there are lots of options for you and your loved one to create an expense plan that works for you and your future.

Creating a Budget

Poor communication about money is one of the top reasons that relationships fail, but budget conversations often take a backseat in a couple’s day-to-day.

By creating a system that you and your loved one can stick with, you can walk into the next phase of your life without contentious conversations about cash later on.

Start by creating goals. Is house-buying in your future or are you in need of new furniture? Maybe you want to prioritize traveling over creature comforts.

Listing out your hopes and dreams not only allows you to get to know your partner a little better, but it can help you pick a plan that best works for your needs. Once you have your goals on paper, write out your current financial status and estimate where you are likely to be in the next few years.

Make a list of unavoidable expenses, including any debt you are bringing with you into the relationship (think student loans, car payments, credit cards). Always make room for fun spending—or if you already know that your daily Starbucks is non-negotiable, include it in your regular expenses.

Once you have a clear vision of where you are financially, how you hope to spend your money and how you are currently spending your income, you can choose a budget that best fits your needs. Consider an app you can both easily access in order to stay on top of things and be completely transparent with your new partner.

Consider the Long-Term and Be Flexible

Creating a budget and choosing a tool to keep track of it is a great way to ensure a firm financial future. You do have to keep in mind, however, that life doesn’t always follow a straight line. Finding flexibility is just as important as creating your budget in order to find security in the long-term.

Even if your focus right now puts more emphasis on traveling or building the home of your dreams than retirement, planning early is the best way to be prepared for anything that may come your way. Create a savings account, choose a retirement fund and contribute regularly. Even a few dollars in each deposit can add up over time.

Enjoy this next chapter in your life without concern or arguments over finances. Create a budget that works and stick with it so you can keep your focus on achieving all your dreams!

Need some help establishing a budget that is perfect for you? Contact us to get started.