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It's
June, a popular month for weddings. If
you are getting married this month, you
have a lot to think about: a rehearsal,
a ceremony, a reception, possibly a
honeymoon. But most important of all,
you have the anticipation of starting a
new life together. To help make that
life a happy one, you and your new
spouse will need to communicate with
each other on all types of issues, and
one of the most important of those
issues is your joint financial
situation.
So, once the wedding
festivities are behind you, take some
steps that relate to your future
financial well being. Here are a few
suggestions:
-
Establish financial goals. You and
your spouse can become disciplined
money managers if you are both
working toward some joint long-term
financial objectives, such as a new
home. If you eventually have
children, your goals may expand to
include college. And throughout your
working life, you will want to put
money away for retirement. No matter
what your goals are, you will have a
better chance of achieving them if
you set out a strategy - and stick
to it.
-
Don't put off investing. How much
money you have available to invest
depends on your income and expenses.
When you're just married and
establishing a household, you may
not feel that you have a lot of cash
to spare, but make it a priority to
put away something each month, even
if it's only a small amount. If you
can get into the investment habit
right away, it will serve you well
throughout your married life.
-
Take advantage of retirement plans.
If you and your spouse are both
working, you may each have access to
a 401(k) or other employer-sponsored
retirement plan. Contribute as much
as you can afford to each plan, at
least enough to earn the employer's
match if one is offered. Also, look
closely at how you are each
allocating your dollars within your
respective plans. Try to avoid
duplicating each other's investment
choices. By spreading your money
around a range of investments, the
two of you can potentially reduce
the effects of market volatility and
give yourselves more chances for
success. A financial advisor can
help you identify the investment
choices that are appropriate for
your risk tolerance, goals and time
horizon.
-
Get control of your debts. Your
debts, and those of your new spouse,
are now of concern to both of you.
While some debts, such as a
mortgage, may be inevitable, it's
generally a good idea to keep your
debt load as low as possible. That's
because the more money you spend on
debts, the less you have available
to invest for your future. By going
over your student loans, car loans,
credit cards, etc., you may be able
to develop a strategy to reduce your
overall debt load.
By following these
suggestions, you can start married life
off on the right foot, at least in
regard to your financial situation. As
for who gets to write the thank-you
notes for the wedding presents, that's
another matter. |
