5 Effective Financial Tips for Newlyweds

Are you starting on your financial journey together or are you already married and looking to improve your finances? Either way, having good financial habits now can help you start off your marriage on the right foot.

How would you like to start married life on a sound financial footing? From paying bills to saving for retirement, Planning for your future financial well-being isn’t something that should be thought of once you've tied the knot.

While married life can bring new challenges, it also brings exciting opportunities. In addition to building your career, saving for retirement, buying a house, and growing your family, you'll also want to ensure both of you are financially stable. Here are five ways to ensure your finances stay on track through your marriage.

1. Discuss monthly budgeting plan

With the arrival of marriage comes the need to discuss financial matters. While many couples may not spend much time thinking about money before they get married, it's important to develop a plan to manage finances together once the two of you have decided to live together and start a family. The first thing to do is sit down and write out what each person earns. You don't want any surprises later on! Make sure to take into account your combined income, as well as your individual income. Your budget should cover everything including food, housing, utilities, child care, healthcare, transportation, entertainment, etc. Having a written plan gives both parties a clear picture of where their money goes.

2. Record all potential expenses

A budget also provides couples with an opportunity to record all expenditures. If you have children, it's best to create a separate budget just for them. You can use a spreadsheet program (like Microsoft Excel) to keep track of expenditures. Keep receipts handy, along with copies of canceled checks and bank statements. Keeping records of all purchases helps you identify possible overspending. It's a good idea to set aside enough money at the beginning of the month to make sure you won't run short. In addition, if you find yourself overextended, look for ways to cut back on unnecessary spending.

3. Create an Emergency Fund

An emergency fund is a savings account set aside specifically for unexpected events. Having money saved away for emergencies gives one peace of mind, and makes life easier if something does happen. An emergency fund should be enough to cover any major expenses, such as medical bills, car repairs, or home improvements. A general rule of thumb is to have three months' worth of spending amounts in the account. If you don't currently have an emergency fund, then you may want to consider starting one today. Here are some tips to help you along the way:

• Start small

• Open a separate bank account

• Save regularly

4. Set Saving Goals

If you want to make sure that you're putting money away for a rainy day, setting savings goals is a good idea. You need some sort of goal before you start putting money away to make sure you stay motivated. Without a clear goal, you may find it difficult to stick to your plan. Whatever your financial goals are, they need to be realistic and attainable. Make sure that you have the right tools to achieve them.

5. Prioritizing Certain Things

While establishing an emergency fund and setting saving goals is important, it doesn't mean that you shouldn't allocate some of your spare cash to other priorities. By doing so you can help you build a strong foundation for building wealth. When you buy any item, try to prioritize what you really need versus what looks good. When it comes down to it, everything else doesn't matter if you don't have enough food in your home. Make sure you take care of those essentials first before buying anything else.

Whether you’re newly married or have been married for years, financial matters can easily become overwhelming. Every couple has their own unique situation, so it’s important to start out on the same page. Learn how to budget wisely, avoid debt, and save for a rainy day.

Getting into good financial habits early on in marriage can help both spouses build a solid foundation for future success.