Relationships and Finances: Why You Need To be Active in Managing Your Money
Relationships and finances, a stressful topic for couples! However, avoiding finances to the point that it falls on just one person, can set you up for failure. Why is it important to be active in managing the finances in a relationship?
Relationship and Finances: An Eyeopening Experience
Lauren is a divorce lawyer who has a client that had a big wake up call! Her client relied heavily on her husband to manage all their finances, while she focused her energy as a stay-at-home wife (SAHW) However, now she finds herself going through a divorce and found out that she is actually a multi-millionaire!
What does this mean for her now? Well she now finds herself with many assets and wealth. However, she did not learn how to manage money, which puts her at risk of mismanaging her new found wealth.
Similarly, people who win the lottery, often find themselves in the same situation. This almost always results in disaster, as they mismanage their money and lose it all.
Putting the Financial Burden on One Person
I used to be the one who managed our finances in my relationship. I naturally took over because I was more knowledgeable and experienced. However, the mental toll it took on me to ensure our finances were on point, was exhausting!
This is why everyone, in the relationship, should be actively participating in the management of the finances of the relationship. Not only is it a huge mental workload, but relying on just one person prevents you from learning financial literacy. This can set you up for failure, as the SAHW from the previous story.
Teamwork Makes the Dream Work
Working as a team in dealing with your finances will make ya’ll stronger and can make you into a power couple. Not to mention it does relieve some of the stress and pressure that the main money manager has to deal with. Finances can be overwhelming, but together you can reduce the workload.
It also sets you up for success when both partners actively make financial goals and take part in ensuring you accomplish them. Talking about finances makes sure you both have the same financial goals in mind and that you agree on the same plan. With both partners working together, success is more achievable.
What is Stopping You?
Learning about your finances can seem like an impossible task, but it is necessary to take the steps to learn! Financial literacy is such an important skill to gain financial stability and put you on the road to financial freedom.
So what is stopping you? What is holding you back from taking charge of your finances? There is no better time to start than now. There are are many free resources online to help you in this journey. Don’t wait until it is too late!