After a few months of dating, you have decided to shift gears and move in with your bae because everything is rolling out smoothly and ‘it feels right’. How beautiful does it feel, isn’t it? That emotion is as indescribable as the feeling that you are having. But your bubble is likely to get burst by something which you would have never ever thought of, Personal Finances. Bewildered? Read on…..
We aren’t playing the devil’s advocate nor are we making contentious statements to annoy the hell out of you. Many studies (the one by American Psychological Association being the most prominent ) in the recent past suggest that couples often part ways because of financial stress and their woes turn from bad to worse when their roles aren’t defined.
Moving in is a big step, a litmus paper test of how much you can take as a couple and depending on how it works out, you two will or won’t take the big leap and tie the knot. So if you are head over heels for your partner, if the romance is still brewing and the sexual energy is transpiring into love, you better get down to the nitty-gritty of managing finances as a live-in couple, otherwise, the bubble can burst out anytime soon.
To stay on top of your finances as a couple, you have to follow these golden rules:-
1. Assign clear Roles
When you go out for romantic dinners, do you always split the bill in half or does someone ends up paying the lion’s share? Or, one person always has to bear the expenses single-handedly. It is less likely that you two would be earning exactly the same income (numbers of course), and hence the person earning more could afford paying more. We aren’t categorically rejecting the idea of one person taking care of the major part of finances but to avoid any rift between the two of you, roles should be clearly stated and freely consented.
2. Keep it Vanilla
Don’t overcomplicate things and tackle each bill as and when it comes. This way you won’t be able to track your expenses and it will cause chaos. Workout a simple plan which fits perfectly in the way you two spend. For instance, club a certain percentage of your income to a fund and counter all the utility bills from there. This will not only help you with monitoring your money but also in strategizing.
3. Keep up the Team Work
When you live together and share the bills, the failures (on the finances front) of each of you tells upon the overall financial success of you two as a couple. If one partner fails to budget his/her earnings and finds it hard to make ends meet (there are some expenditures which can’t always be joint) and asks for others support, that he/she has to work on that front. No amount of planning and precision can work in your favor without a well thought out budget.
4. Allocate an Allowance for your Cravings
It’s next to impossible to abstain from impulse purchases or pursuit one’s pleasures altogether. But then again, you can’t be too lenient with your clubbed money as it will destroy the whole purpose of creating a budget. So to work out a middle way, every partner should get some weekly allowances (consensually of course) to spend on things which pleases them.
5. Save for the Rainy Day
As a youngster, it is likely that you may not have touched the epitome of your career and creating a provision for the rainy day might seem like chaining yourself with an unnecessary burden. However, when you are in a relationship, you have to be very mindful of the way you spend. It’s like an unsaid covenant and you are partly responsible for your partner’s well being (remember sharing is caring), so to counter any emergencies, it’s better to allocate some funds in advance to the contingency reserve otherwise you will have to resort to credit cards and relying on it could prove to be detrimental (quite literary).
6. Curb down on Eating Out
Eating out once in a while helps you rejuvenate but making it a habit is plain stupid. PERIOD.
These tips will help you and your bae to strike a balance in your life while still squeezing the juice out of life.