You love to shop. Whereas your partner operates on a budget.
Or, you want to beautify a part of your house but your partner just spent money on an expensive new golf club set.
One partner may spend on something the other may think frivolous or waste.
I am sure it sounds familiar to some of you.
During some of my interviews with women whether they were married or dating or in committed relationship, the topic of money dominated our discussion. And the concerns they had, brought resentment, conflict, mistrust in a relationship.
I know talking about finances is a sensitive topic to discuss but it is a very important subject to talk about. Do you know that money fight is one of the top 5 leading cause of divorce in America? (Ramsay Solutions, 2017)
“Each partner comes to a relationship with their own history and relationship with money and their own self of feelings connected to money.” (Gottmans,2018)
What meaning do you attach to money?
When you are dating - Do not stop yourself to fall in love just because you have a fear how the role of your finances will play in the relationship. When you are dating and considering someone for a long term, do not ignore talking about how you want to manage money in your relationship.
“I have been poor, and I have been rich. And I like the rich a whole lot better.”
Pre-nuptial agreement has skyrocketed in recent years in all income levels and no more limited to wealthy individuals. Men more than women go for this option even though number of women requesting prenups has gone up. But why more men? Because women, generally speaking, go for men who are higher earners than them. It fulfills their innate emotional need of financial support.
Basically, a higher earner wants to protect their money to avoid potential alimony disputes. Regardless of the gender, it has been noted that the one who is earning less gets offended and objects to the idea of a prenup.
It is not about the trust, but about confidence in oneself. A secure and confidant woman or a man will not mind signing that document because they know their intentions are not malicious and carry no hidden agenda.
We are living in a different world now. Traditional gender roles have changed. Women have joined the workforce big time. They are highly educated and are in high earning professions now.
But still women carry a bad reputation of being gold diggers. But men are no less whether they are millennial or in their mid-life. Millennial takes an easy route and find women who are in high earning careers. Men in mid-life are doing the same. At this point of their lives they are either financially stable and very successful or going broke. So, they look for women who can save them from their financial mess. Watch out for that. If they call themselves old school, which means they are “protectors and providers” but they very conveniently take “providers” out of the equation.
It doesn’t mean you are looking for someone to depend on but see if they are in a comfortable position supporting the family and take care of the basic needs. If not, you know what to do.
One of my clients told me that she tells men that she lives paycheck to paycheck so that men don’t take advantage of her and that will filter out the male gold diggers.
Well, when you come to that phase of your relationship when its time to talk about money, you can ask your potential partner these questions –
1.What do you earn? What do you own? What do you owe? It is a difficult one but communicating is better than later on finding the lack of money. If you feel uncomfortable face to face, send an email describing how you manage your money.
2. How did the family handled money growing up?
3. What is yours, what is mine and what is ours?
4. How much do you want to spend on kids?
5. What are your financial goals?
When you are married –
There is no wrong or right way to deal with your finances.
7 WAYS TO NAVIGATE THROUGH FINANCIAL DISAGREEMENTS TO SAVE YOUR RELATIONSHIP:
Separate bank account - One option to deal with your disagreements on spending money is to keep one of the bank accounts just for yourself. This can give you a freedom to operate however you want. I will share my own example here. My ex-husband and I had one separate bank account which we didn’t share with each other. And it worked perfectly well for both of us. We both had full freedom to use our money the way we wanted to. It makes you more responsible and accountable for your expenses.
Communicate skillfully and listen actively – This is extremely important. Tell your partner how you feel about money and in what ways you want to spend, save, or invest. Tell your partner your needs and desires and how you can contribute. Then ask your partner the same. Listen to them non- judgmentally. Do not dismiss or disrespect their goals or dreams they have.
Make a budget – The next obvious step would be to lay out the budget. It helps in clarifying your need for financial support as well as your needs, wants and desires. It helps you to discover the kind of quality of life you are looking for.
Appreciate your partner’s contribution – Even though it can be tempting for the higher earner to take all the financial decisions, it’s important that each individual feel respected and valued – regardless of who is earning more. Both of you bring value to the relationship in some form or the other. So, appreciate each other for every little thing they do and contribute.
Brainstorm together to come out with creative solutions – So, if you are still disagreeing on any of your spending, think loud and talk and see if you can come out with some creative ideas to resolve it. Money translates into power. Do not let it become a power play.
Take turns at each other’s aspirations – If you work together as a couple to save money for something that each partner desires to do, it is a win-win. That shows you both are rowing in the same direction.
Take a time-out when you get stuck - When you feel the discussion is not going anywhere and the frustrations are running high, or angry words are creeping in the conversation, it is time to take a time-out. Say, “let’s talk tomorrow. This hostility is not taking us anywhere.”
Have a regular discussion - The conversation about money is not just for one time. You or your partner change jobs, get promotions, pay rises, and get bonuses or even take pay cuts. If both of you discuss money and your goals on a regular basis then there will not be any unpleasant surprises.
When you work together in partnership towards a common goal, it makes the bond stronger. A little temporary sacrifice here and there by both can be a powerful relationship builder
If you struggle to navigate your finances with your partner, I can help you with tools to reach a middle ground where you both get what you desire.
Your coach Sonali XO
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