You've been anticipating this day for a long time. Now that you've made a commitment to become one, merging your finances can cause needless stress if not handled with care. Is it possible to combine your financial goals and keep your marriage peaceful at the same time?
Marriage brings up countless financial questions, from the titling of assets to figuring out which healthcare plan to use - hers or his? And what are your home-buying plans in the near future? Do you plan to have children right away?
Though it's not easy to consider all these issues at once, we believe that with the proper planning and some guidance from your financial advisor, it's possible to achieve your financial goals.
The Big Picture
Take it one step at a time. Before you think long-term, make sure the critical things are covered. The first thing to do is to make sure you budget the amount you require for your basic needs. Then, make sure you have an emergency fund with at least three months of income savings should the worst happen. Next, it's important to make sure that both of your assets are covered by adequate insurance so there are no surprises.
Once you have those immediate needs taken care of, it's a good idea to start looking ahead to some of the goals you share as a couple. Though you are just starting out in your marriage, it won't be long before you start facing large financial needs. Although it might seem far off now, putting retirement on the back burner is not a good idea. Investing, even if only a little bit in the beginning can help you reach your long-term goals. You never know, with the right savings and investment plan, it might even be possible to retire early! That's the power of the market over the long term, and the sooner you start investing, the better.
When you get married, don't forget to make sure that you're saving for both of your short- and long-term goals. Learn more about how Warren Wealth Management approaches your needs. Please visit our contact page and we will be happy to help you identify and prioritize your financial goals and track your progress toward achieving them.