You return home after a long day at work to find your partner at the kitchen table with their head hung low. Moving closer towards them on the table is a pile of bills, and you immediately regret that impulsive online purchase of four new spring dresses you did last month. Your eyes lock, and the look of worry and uncertainty cascades between you two. You both know that it’s time to talk about what you’ve been putting off for a while – your finances!
So, why do so many couples avoid talking about their finances?
For many, it’s an uncomfortable conversation. Some of us were not taught healthy financial habits, and most often those habits creep into our relationships, making it a perfect storm of finger-pointing, and arguments. Let’s be honest, who wants to sign up for that? But the good news is there are plenty of resources and help that couples can use to create healthy conversations around money, and ways to sustain healthy habits.
Getting good at talking about finances will benefit everyone in the long run. The recent show hosted by world-renowned financial guru Ramit Sethi is a testament to that fact. Netflix’s new series How to Get Rich explores and interviews people from all backgrounds, including couples with financial issues, and helps them create effective strategies and tools to navigate money.
Some of Ramit’s advice include:
1. Engage in Conscious Spending
Sethi’s advice on growing rich isn’t about sacrificing, it’s about spending on what you love and cutting what you don’t. His philosophy is simple, yet revolutionary. Instead of giving up the things that bring you joy, practise conscious spending. Budgeting is like a bad diet, it’s hard to stick to. Sethi’s approach is much easier – divide your income into fixed costs, investments, savings, and guilt-free spending. It’s time to stop depriving yourself and start investing in your happiness.
2. Automate your Finances
Automating your finances means taking the guessing game out of what you need to put away every month. As Sethi says, taking this step “has the potential to be a money game-changer” and is “critical to successfully getting control of your finances.”
Sethi explains that when you automate smart financial decisions, your financial success no longer depends on willpower. You’re no longer trying hard to do better with money management – and potentially setting yourself up for failure.
3. Maximize Your Earning Potential
Sethi emphasizes the importance of increasing your income. On his blog, he boldly proclaims that ‘there’s no limit to how much you can earn,” and offers practical advice on both starting a business and generating investment income.
He goes on to share, “don’t shy away from money discussions with your partner.” In fact, treating finances as a shared priority, and working together towards financial goals can set you up for even greater success in the long run. Letting harmony, and collaboration guide your financial decisions as a couple will help secure a stronger future for both of you.”
Sherika Powell | Contributing Writer