Through the course of time it has always been known that men and women view money differently. From the early stages of a relationship, to the end of decades of marriage almost always one spouse has a different view on finances than their partner. Dustin Stanley, independent fiduciary wealth advisor of Strategic Wealth Designer joined WDRB in the Morning to break down the important conversations couples need to be having about their financial investments and day to day spending. He says relationships will flourish if they do not avoid the difficult conversations about money and it will likely lead to their financial landscape being much more stable as well.
“Couples are 30% more likely to get a divorce over their lifetime if they have continual arguments around their finances,” Stanley says. “A lot of times, people will fall in love and commit to a relationship with their significant other and they don’t conversate about the financial situations each has from their past. One person could have a lot of student debt, or be financially irresponsible so it’s imperative that you find out where each spouse stands before you commit to something long-term to make sure you are on the same page.”
When you are looking at a budget and understanding what you spend, don’t just pick out a month and assume that is average. Stanley says to go out at least six months and to look at an average cost over that time because life happens and unexpected expenses happen so it is important that you see what each side is spending as you are building your relationship. When it comes to retirement Stanley says it’s very important to understand what the significant other’s goals are as they plan for retirement, so that it is in alignment with your own goals.
“Some people don’t believe they are ever going to retire or don’t want to retire. Others want to retire early and go to Europe twice every year,” Stanley says. “You’ve got to understand what the goals are of your spouse, so when you are thinking you are 4 or 5 years from retirement and your spouse says ‘what are you talking about?’ -- you get those details set from the onset so there isn’t problems down the road.”
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