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Forget the gift registry, let’s talk finances!

Advice from Financial Wizard Jason Washo

Let’s face it, discussing finances when getting married is down right scary. It may seem easier to ignore the financial discussion but this may be telling you more about your future marriage than you realize. Some people feel guilty discussing finances before getting married because they don’t want to seem greedy or ‘in it for the money.’ Don’t let your fear of discussing sensitive issues get in the way of starting things off right. You will undoubtedly face difficult situations and discussions as a married couple.

Where should we start?
Discuss your finances. This is incredibly important and most pre-marriage counseling will include some basic financial education. Be open and willing to discuss money and debt issues. Disagreements about financial issues are often cited as a cause of divorce. It makes sense to talk about your financial lives before getting married. To help you facilitate the discussion, make a list of each or your financial resources and obligations then compare them side by side. A good list of ideas to get started with would include:

Discuss and set financial goals.
When you were single you called all of the shots. Unless this will still be the case after marriage, compromising will become part of your financial life. Some goals are less negotiable than others. And depending on whether you ask the husband or the wife, some of these goals may be non-negotiable. Here are some questions to get you started.

• When should we each retire?
• Will we need a new sports car every 5 years?
• Do we want kids and will we pay to send them to college? In state or out of state?
• Should we pay off our debts over the next 2, 3, or 5 years?
• Do we want to buy a bigger house or a second home?
• Do we have an emergency fund with 6 months of living expenses?

Agreeing on financial goals in advance will ensure both of you are on the same path. It will also help you focus on your goals vs. getting a new big screen TV, unless of course that is an important financial goal for both of you!

Most importantly, discuss your financial lives with each other. The financial lives of your new household should be an open book.
If you would like additional information on this or other topics, send an e-mail to jason@washofinancial.com insert “SweetConnection and Marriage” in the subject line.

~ Jason

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Learn more about Jason

This article is not intended to provide specific investment or tax advice for any individual. Consult Jason E. Washo, CPA, PFS, or your financial advisor, with questions.

Circular 230 disclaimer: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this article is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein.

*Securities and Financial Planning offered through Linsco/Private Ledger. A Registered Investment Advisor. Member NASD/SIPC.

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