Filipino Spouses/Fiancee of Foreigner

by Steven B. Smith

Managing Your Finances to Live Happily Ever After

Inthe words of John Lennon, “money can’t buy me love.” But money may leadto divorce. According to a study by the Creighton University Center forMarriage and Family, money is a leading reason couples fight and one ofthe main causes of divorce. If you’re planning on tying the knotanytime soon, now is the time to sit down with your groom-to-be and goover your finances.

Here are a few tips to make sure that money doesn’t get in the way of "happily ever after." 

1.Discuss and set long-term goals. Be open and honest indiscussing your finances. Determine what is important to both of you,and agree to work together to accomplish your goals, whether theyinclude paying off your debt, saving for a down payment on a home, orretirement planning. If you’re both on the same page for your long-termgoals, you’re less likely to argue about short-term spending.

Determine how you will handle the day-to-day management of yourfinances. Often one spouse will be more inclined to manage thefinances. That’s fine, but make sure that both are aware of what’sgoing on.

2. Create a monthly spending plan. Create a plan outlining what youare going to do with the money you earn. Use a secure online spendingmanagement program like Mvelopes Personal (www.mvelopes.com) toautomate your plan and make tracking easy. Use online bill pay to setup automatic transfers into a savings account to make saving simple.You can also set up automatic payments on your mortgage, car payment,credit card, or just about any other bill to avoid late payments (andthe accompanying arguments). Most banks offer online bill pay andMvelopes includes a free online bill pay service.

Set asidesome “fun money” to cover the occasional impulse buy. Most budgets failbecause people feel constrained by them. If you have some wiggle room,you’re much more likely to stick to your plan. Some couples prefer a“his spending” category and a “her spending” category – that way, solong as you have the money in your category, you can get those perfectshoes when you find them, without feeling guilty. And he can get thatnew golf club.

3. Start planning for your future…NOW. This may be the mostimportant thing you can do for yourself. Your wedding should be thestart of a wonderful life together, but if you really do want to livehappily ever after, you need to start planning for tomorrow today. Setaside some money in your spending plan for a retirement account.Contribute to a 401(k) or set up an automatic transfer to an IRA. Timecan be your biggest ally, or your worst enemy. The sooner you start,the easier it will be. Start today. Start now.

Money isn’t everything, and discussing your finances now won’tnecessarily ensure that you’ll end up millionaires, but it may helpavoid arguments later on. According to a study by economists DavidBlanchflower and Andrew Oswald, married people are healthier, bothphysically and psychologically, they live longer, they earn more moneyand they’re happier. In fact, about $100,000 per year would be neededto compensate for the happiness achieved through a lasting marriage,according to the study. And isn’t that why you’re getting married inthe first place…to live happily ever after?