Financial Rules Newlyweds Must Follow
When a newly married couple comes to a financial planner, there are always five different areas that seem to matter the most. They are starry eyed of course, thus putting these financial musts in front of them is of extreme importance. These are basically: 1. financial debts, 2. financial goals, 3. opening accounts, 4. making a budget, and 5. deciding who is going to act as accountant for the couple.
The first thing that any newlywed couple or couple about to get married needs to do is to understand what they will be bringing to the table financially. So they need to value what they have together in total assets which includes investments, bank accounts, cars, electronics, properties, and anything else that will fetch a price. This will give the couple a good idea of where they are starting out financially together.
The purchase of automobiles is an important discussion that couples need to have. How long does each partner plan on keeping their current vehicle? When an upgrade occurs how much money will be allotted to that purchase? These are questions that need to be answered early on in the relationship.
Now, they need to look at guaranteed income, such as their salary, or perhaps an annuity of some sort. This also should include interest paid to them on investments and the like.
Debt is a big ticket item on most people’s books. Couple should share with each other how much is owed on any mortgages, credit cards, student loan payments, and other loans. They should be open and honest with one another so that they couple gets a clear understanding of how much debt they are in together; in turn they will be able to build a plan to get themselves out of debt.
The home’s equity, if they own a home, is of tremendous significance as well. First, they need a place to live, but secondly having equity in a home is one of the easiest ways to eventually accumulate wealth. Have the couple find out what their home’s actual fair market value is. With the advancements in what is located on the Web, they can look over what similar homes were sold for, themselves. Equity is the difference between fair market value and what remains to be paid in mortgages and such. They must be sure to look at equity loans too when arriving at the home’s equity.
The couple needs to find a financial consultant with whom they can talk and discuss matters of their finances. This person can help them come up with a plan to meet their financial goals that the couple can then take home and implement.
Retirement accounts need to be changed too, so that the newly acquired spouse is now the beneficiary. If the couple does not have life insurance or disability insurance, they should be counseled as to the importance of acquiring some at this juncture.
If neither one of the partners has a retirement package, then they should definitely consider getting one because you definitely want to keep things good until death do you part.
Dorthy Weatherbush didn’t have TheKnot.com to help her plan for and get ready for marriage. With the help of TheKnot.com couples now have lots of resources to not only help them plan for a wedding, but for marriage, kids, and the couple’s first home.
Related posts:
- Home Equity Loans What Every Homeowner Should Know The home equity loan is also called the second mortgage....
- Quick Online Payday Loan - Dealing With Financial Emergencies Your payday is not near and you need to pay...
- Pros And Cons Of Home Equity Loans Have you been thinking about borrowing a substantial amount of...
- Steps To Follow After A Job Interview Pat yourself on the back and take a deep breath...
- The Value of Having a Quality Health Insurance Plan In Canada, having a quality health insurance plan has become...