Thu 1 Oct 2009
This article I
recently came across lists the number one reason for divorce as finances (not infidelity, as you might have expected.) So, what’s the best way to manage finances in a relationship?
- How much money should you save?
- How do you set budget amounts?
- How much is too much to spend on entertainment?
- Shared bank accounts or individual?
- Do spouses get allowances?
- When is debt okay?
- How much should you save for emergencies?
- How do you make spending decisions?
- Do you use credit cards? debit cards? checks? cash?
- When do we make a will? get life insurance?
Ideas? Advice?
Spouse allowance? I guess you can have twenty dollars a week. That includes food though, so spend it wisely Mr Byrd.
hehehe. i was VERY careful not to say husband or wife allowance. everyone already knows you’re better at managing money than I am, Dear.
love, your future hubby
20%, based on the past, $1 million, both, make them earn their $20, when it’s necessary (e.g. education, housing, transportation), at least 1 month income immediately available and 6-12 months living expenses available (perhaps in investments), intelligently and togetherlerly, credit paid off monthly is nice for building credit and the marginal protections over debit and debit is ok too. cash and checks as needed but they’re lame. when you have a kid or care to.
Ryan, does this mean I’ll be covering lunch when we go out?
Maybe I can convince your seemingly frugal wife to be to give you a little bit more of an allowance.
No William it means that Ryan will be eating peanut butter and jelly sandwiches. But I will continue to eat whatever is most expensive, unless there are ribs.
Rachel, darling, I thought you only liked to eat escargot?
–confused husband-to-be
Heavens no. Apparently you have already forgot about our evening of watching the office. Maybe I quoted the office. Who knows.
oh, no, princess, I picked up on the Office allusion. it was very clever of you. i just remembered how much you LOVED escargot!
Well Mr. and Future Mrs. Byrd …
I would suggest that you read Dave Ramsey’s books … http://www.amazon.com/s?ie=UTF8&tag=mozilla-20&index=blended&link_code=qs&field-keywords=dave%20ramsey&sourceid=Mozilla-search
He really breaks it down as far as where to put your money and what to do with it. Michelle and I essentially did what he suggests in getting out of debt.
As for checking accounts, maybe I am just a traditional man in this regard, but we have a joint bank account.
With no debt, we only pay with cash. If we don’t have the cash, we do not buy it. Credit cards suck.
Dave Ramsey gives some great advice on insurance too.
As for spending decisions … I don’t call Michelle when I want to get a drink or eat. But if I were to spend $100, I give her a call.
Hope that helps!
[...] Yes, we’ve talked about finances in marriage before [...]
What does “this” refer to?Oh. I don’t have a favorite way to manage finances in a relationship. But my favorite book is Tale of Two Cities.